Nvidia Surges to $4 Trillion Valuation, Outpacing Tech Peers
Nvidia has become the first public company to reach a $4 trillion market valuation, marking a historic milestone in the tech sector. The chipmaker's stock has soared over 40% since May, defying US export restrictions on its products to China.
The company's growth trajectory is staggering. After hitting $1 trillion in June 2023, Nvidia's value has more than tripled in under a year - outpacing both Apple and Microsoft during their ascents to the $3 trillion club. Microsoft currently trails at $3.725 trillion, while Apple hovers just above $3 trillion.
Nvidia now commands 7.3% of the S&P 500, surpassing Apple's 7% and Microsoft's 6% weightings. The April market turbulence caused by Trump's tariff proposals proved temporary, with shares rebounding 74% on renewed Optimism about US trade agreements.
"The poster children for the AI revolution are led by Nvidia and Microsoft," observes Daniel Ives of Wedbush. "Both are foundational pieces of building on the biggest tech trend we've seen in 25 years covering tech stocks." More tech giants are expected to join the $4 trillion valuation club as AI adoption accelerates.