Nvidia surpasses Microsoft, becoming the world’s most valuable company now. This shift comes just weeks after overtaking Apple in market valuation. Nvidia’s pivotal role in supplying chips crucial for advancing generative AI technology drives this change.
Market Valuation Soars
As of Tuesday’s trading close, Nvidia’s share price reached $135.58, marking a $4.60 increase from the previous day and pushing its market capitalization to $3.335 trillion. This places Nvidia ahead of Microsoft ($3.32 trillion), Apple ($3.29 trillion), and Google ($2.17 trillion).
Remarkable Growth and Performance
Nvidia’s rapid ascent is underscored by its share price surge of 160 percent in 2024 alone. The company’s value crossed the $2 trillion mark just in February, and its recent split of shares (10-for-1) has adjusted its overall share price while amplifying its market impact.
Strategic Advancements in AI Technology
Nvidia focuses on AI technology with its upcoming Blackwell GPU architecture. The anticipated B200 chip is touted as “the world’s most powerful chip.” Each Blackwell unit will cost between $30,000 to $40,000. Nvidia plans annual releases of new AI chips to reinforce its market leadership and technological prowess.
Financial Performance and Future Outlook
Nvidia’s May earnings report showed revenue exceeding $26 billion. This sets a strong foundation for upcoming product launches. Continuous AI innovation positions Nvidia for sustained growth and market dominance. The company’s ascendancy to global market valuation leader underscores its role in shaping AI’s future and reinforces its semiconductor industry standing.