Nvidia (NVDA) made history on Thursday, becoming the first company to surpass a market valuation of $3.6 trillion. The AI chip giant’s stock surged 2.2% following Wall Street’s rally, fueled by investor optimism after Donald Trump’s re-election, which brought expectations of tax cuts and reduced regulations under the new administration.
Nvidia’s closing market value reached $3.65 trillion, eclipsing Apple’s previous record of $3.57 trillion. Apple, which had briefly been the world’s most valuable company, saw its own stock rise 2.1% on Thursday, bringing its market capitalization to $3.44 trillion.
Since Trump’s election victory, the S&P 500 technology index has jumped more than 4%, with Nvidia leading the gains. The company has thrived amid the surge in demand for AI computing power, outpacing Microsoft, Alphabet, and other major players competing for dominance in the AI space. Nvidia’s stock has climbed 12% so far in November, and its market value has tripled in 2024.
Nvidia’s unprecedented growth has positioned it ahead of other major firms. Its valuation now exceeds the combined worth of industry heavyweights like Eli Lilly, Walmart, JPMorgan, Visa, UnitedHealth Group, and Netflix. Analysts expect Nvidia’s quarterly revenue to soar over 80% year-on-year to approximately $32.9 billion when it releases its next earnings report on November 20.
With this historic milestone, Nvidia has pulled ahead in a close race with tech giants Microsoft and Apple, whose market values have fluctuated at the top over recent months. Microsoft closed Thursday with a valuation of nearly $3.16 trillion, boosted by a 1.25% stock increase.
