On Tuesday, Nvidia’s shares drove up the value of the S&P 500 and NASDAQ at the New York Stock Exchange. The chip-maker from Santa Clara, California, experienced a 3.2% increase in market capitalization, reaching $3.33 trillion and surpassing Microsoft as the world’s most valuable publicly traded company.
During midday trading on Tuesday, Nvidia shares were trading at $135.04 each, marking a 3.18% gain. In comparison, Microsoft shares declined by about 0.5% to $445.96, reducing its market capitalization to $3.31 trillion. Nvidia’s growth in value was directly related to its recent launch of the artificial intelligence app ChatGPT and its significant presence in the data center chip market.
Nvidia holds an 80% market share in data center chips, which are increasingly in demand due to the growth of artificial intelligence applications. The company’s revenue from data centers saw a 427% increase in the past year, totaling $22.6 billion, with data centers accounting for 86% of Nvidia’s business sales. In the first quarter of the fiscal year, Nvidia’s share prices rose steadily, posting a 172% gain. The company generated $26 billion in revenue during the quarter, a 262% increase from the previous year.
As of now, Nvidia is one of only three publicly traded companies with a market capitalization exceeding $3 trillion, alongside Microsoft and Apple. Its recent surge in value allowed it to surpass Apple earlier in June and cross the $3 trillion mark for the first time.
The tech industry continues to be a driving force behind global economic growth as companies like Nvidia continue to innovate and expand their operations into new markets such as artificial intelligence and cloud computing services.
In conclusion, Nvidia’s recent success can be attributed to its focus on innovation and expansion into new markets such as AI and data center chips. As technology continues to evolve at an unprecedented pace, we can expect companies like Nvidia to remain at the forefront of this revolution for years to come.
NVIDIA SURPASSING MICROSOFT AS WORLD’S MOST VALUABLE PUBLICLY TRADED COMPANY
On Tuesday at the New York Stock Exchange (NYSE), tech stocks continued to drive up the value of both S&P 500 and NASDAQ indexes.
One such stock that contributed significantly was NVIDIA Corporation (NVDA), which experienced an impressive increase in value during trading on Tuesday.
According to reports from Yahoo Finance (YF), NVDA saw an increase of approximately 3%, raising its market capitalization to around $3 trillion.
This surge allowed NVDA to surpass Microsoft Corporation (MSFT) as
