As the AI investment frenzy persisted, propelling Nvidia’s market value to new heights, the company’s valuation surpassed $1.5 trillion on Wednesday.
Based on data from Refinitiv, Nvidia’s stock, led by CEO Jensen Huang, saw a modest increase of just over 1% by the end of the trading day. This uptick elevated the company’s total market capitalization from \(1.48 trillion to \)1.52 trillion.
Having already achieved a remarkable 24% growth in 2024, Nvidia continued its impressive performance from the previous year, during which it surged by nearly 250% fueled by the heightened interest in ChatGPT.
Given Nvidia’s dominant position in the market for graphics processing units (GPUs) that drive OpenAI’s advanced language tools, investors have recognized it as a pivotal player in the AI sector.
The substantial growth trajectory of Nvidia propelled it to a valuation of $1 trillion in May, solidifying its status as one of the “Magnificent Seven” mega-cap tech firms, alongside Apple, Microsoft, Alphabet (Google), Amazon, Meta Platforms (formerly Facebook), and Tesla.
Interestingly, Nvidia was not the sole company in this elite group to achieve a significant valuation milestone on Wednesday. Meta Platforms also reached a \(1 trillion market cap for the first time since 2021, while Microsoft’s market capitalization surged to an unprecedented \)3 trillion, buoyed by CEO Mark Zuckerberg’s “Year of Efficiency” initiatives and a strong start to the year.
