Recently, Nvidia approached a significant milestone, reaching a market cap of $3.92 trillion during trading, nearly hitting the $4 trillion mark [and eventually, in a later trading session, surpassing that milestone]. This rapid expansion stems from robust demand for its innovative AI chips, pushing its value past Apple’s previous record of $3.915 trillion from late 2024. It ended the session at $3.89 trillion, underlining Nvidia’s remarkable ascent.
Joe Saluzzi from Themis Trading noted its swelling market values, stating that the leap from a trillion to four trillion is astounding, reflecting the surge in AI investment that many are pursuing. Nvidia’s stock rise indicates a broader enthusiasm on Wall Street about the future of AI. The firm’s latest chips are essential for training powerful AI models, prompting fierce competition among major technology companies like Microsoft, Amazon, and Tesla to enhance their infrastructure, with Nvidia’s hardware playing a crucial role. With a current valuation surpassing that of all publicly traded companies in Canada, Mexico, and the UK combined, Nvidia has come a long way from its $500 billion valuation just four years ago, which mainly came from gaming graphics technology.
The company’s tremendous financial performance includes revenues of $44.1 billion in the last quarter, up 69% year-on-year, with data center sales alone contributing $39.1 billion. Analysts believe Nvidia’s upcoming Blackwell Ultra GPUs will drive further growth, positioning it for a market cap beyond $4 trillion. Despite facing challenges such as Trump’s trade restrictions on its advanced chips to China and increasing competition, Nvidia’s innovation in fields like autonomous vehicles suggests it will maintain its influence in the AI technology landscape.
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