Nvidia Market Cap Surpasses $3 Trillion, Behind Only Microsoft

Graphics and AI silicon maker Nvidia ended Wednesday with a market capitalization of $3.01 trillion, making it the second-biggest company in the world, behind Microsoft ($3.15 trillion) and ahead of Apple ($3 trillion).

“Generative AI is reshaping industries and opening new opportunities for innovation and growth,” Nvidia founder and CEO Jensen Huang said this week ahead of the annual Computex trade show. “Today, we’re at the cusp of a major shift in computing. The intersection of AI and accelerated computing is set to redefine the future.”

Nvidia is determined to keep its lead in that latter half of that equation–”accelerating everything,” as Huang puts it–as competition from AMD, Arm, Intel, Qualcomm, and others is ramping up. But investors are clearly buying the message: Nvidia’s stock jumped 5 percent today alone, 24 percent since it announced its blockbuster first quarter earnings, and 147 percent in calendar year 2024 so far.

And while I don’t usually like to quote others, this is an interesting take.

“Nvidia is making money on AI right now, and companies like Apple and Meta are spending on AI,” Lowbow Asset Management CEO Jake Dollarhide said. “It may be a foregone conclusion that Nvidia will overtake Microsoft as well. There’s a lot of retail money that’s piling in on what they see as a straight shot up.”