On Wednesday, Nvidia became the first company in the world to reach a market capitalization of $5 trillion. A look back at this historic milestone, which follows a more than 50% rise in the stock price since the start of the year.
Nvidia reaches $5 trillion in market capitalization
On the list of the world’s most valuable companies, Nvidia has long held the title of the most valuable company of all time. However, the computing powerhouse made headlines again yesterday by surpassing the $5 trillion market capitalization mark for the first time:
Ranking of the world’s most valuable companies
What makes this achievement all the more remarkable is that just last July, Nvidia set a world record by surpassing $4 trillion in market capitalization. Now, Apple and Microsoft have also joined this very exclusive club.
Since the start of the year, NVDA stock has risen by more than 50%:
Nvidia NVDA stock price (daily data)
This strong momentum comes amid news that on Tuesday, Nvidia announced seven new supercomputers dedicated to artificial intelligence would be deployed for the U.S. government. At the time, Jensen Huang, Nvidia’s founder and CEO, spoke of a new industrial revolution:
We are on the cusp of the AI industrial revolution that will define the future of every industry and every nation. It is imperative that America leads the race toward the future; this is the defining moment of our generation. The next wave of inventions, discoveries, and progress will depend on our nation’s ability to develop its AI infrastructure. Together with our partners, we are building the most advanced AI infrastructure ever created, thereby securing the foundation for America’s prosperous future and ensuring that global AI is built on American innovation, openness, and collaboration, for the benefit of all.
On the same day, the company also announced a $1 billion investment in Nokia. In the second quarter, Nvidia reported revenue of $46.74 billion and a 61% year-over-year increase in profit.
