Nvidia could soon dethrone Apple as the second-most-valuable global company by market cap.
The AI chipmaker’s stock price rose another 20% over the past five days as the company continued to prove its preciousness to Big Tech and Wall Street. Nvidia reported first-quarter revenues of $26 billion, once again beating the Street’s expectations and sending its shares north of $1,000.
Nvidia’s market cap climbed to $2.8 trillion Wednesday morning, putting it just paces behind Apple’s $2.9 trillion.
Nvidia’s exponential rise over the past year is all because of its integral role in the AI takeover and surrounding hype. The chipmaker’s graphics processing units (GPUs) are crucial hardware required to power AI applications. While its rivals and very own customers have developed their own general-purpose and custom AI chips, Nvidia GPUs are still a favorite.
Nvidia said last week that demand for its H200 and Blackwell chips exceeds supply. CEO Jensen Huang said he sees demand continuing for older versions of Nvidia’s AI chips even as many customers seek its latest Blackwell GPUs.
Apple, on the other hand, has had a relatively rocky 2024. Between regulatory scrutiny and slumping iPhone sales abroad, Apple shares haven’t made Nvidia-style gains by a long shot. Apple’s stock is still up 9% from this time last year, but that’s not saying much compared to the likes of rivals Meta, Amazon, Google, and Microsoft.
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This article originally appeared on Quartz.
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