Nvidia Shatters Records: First $4 Trillion Valuation in Corporate History

Nvidia just rewrote the rulebook—again. The chipmaker turned AI juggernaut became the first company ever to hit a $4 trillion market cap, leaving even the most bullish Wall Street analysts scrambling to update their spreadsheets.

How’d they do it? By cornering the market on the computational horsepower behind the AI revolution—while legacy industries still debate whether to 'blockchain-enable' their loyalty programs.

This isn’t just growth—it’s a gravitational shift in tech dominance. Nvidia’s GPUs now power everything from data centers to self-driving cars, making their silicon the new oil of the digital economy.

Meanwhile, traditional investors are left clutching their dividend stocks and whispering about 'overheated valuations.' Spoiler: they said the same thing at $1 trillion.

TLDR

• Nvidia became the first company to reach a $4 trillion market cap, with stock hitting an all-time high of $164.32
• The chipmaker beat Microsoft and Apple to this milestone, driven by strong AI demand and investor confidence
• Nvidia’s stock has gained 21.3% this year, outperforming the S&P 500’s 6.5% gain over the same period
• Bitcoin briefly touched all-time highs following Nvidia’s milestone, though correlation between the two assets is weakening
• The company reported over $44 billion in revenue and $19 billion in earnings for Q1, up 26% year-over-year

Nvidia made history Wednesday as its stock price surged to an all-time high of $164.32, pushing the company’s market capitalization above $4 trillion for the first time. The semiconductor giant became the first company ever to achieve this milestone.

The stock ROSE approximately 2% during early trading before settling at $163.36 in after-hours trading. This slight pullback brought Nvidia’s market cap to $3.98 trillion, still maintaining its position as the world’s most valuable company.

Nvidia beat tech giants Microsoft and Apple to reach this valuation landmark. Microsoft currently sits at $3.74 trillion in market cap, while Apple holds third place at $3.15 trillion.

The company’s journey to this historic valuation reflects its transformation from a gaming chipmaker to an AI powerhouse. Nvidia originally built chips for gaming, then expanded into cryptocurrency mining before becoming the go-to supplier for artificial intelligence computing power.

Robert Pavlik, senior portfolio manager at Dakota Wealth in New York, told Reuters that companies are shifting their asset spending toward AI. He described artificial intelligence as “pretty much the future of technology.”

Art Hogan, chief market strategist at B Riley Wealth, called Nvidia “a clear early winner of artificial intelligence.” The company continues to benefit from the ongoing AI boom across multiple industries.

Strong Financial Performance Drives Growth

Nvidia’s latest earnings report showed robust financial health. The company reported more than $44 billion in revenue and $19 billion in earnings for the first quarter. These figures represent a 26% increase compared to the same period last year.

The stock has gained 21.3% so far this year. This performance significantly outpaces the S&P 500, which has gained 6.5% over the same timeframe.

Recovery from Earlier Setbacks

The company faced challenges earlier in 2025, including a $5.5 billion valuation loss due to concerns about Chinese AI competitors and US export restrictions. Nvidia also experienced a massive $600 billion market cap decline in January.

However, the chipmaker has demonstrated remarkable resilience. The company’s recovery highlights strong investor confidence in its long-term prospects and AI market positioning.

Nvidia’s achievement puts the company’s valuation in perspective with other major assets. Bitcoin, which also touched all-time highs Wednesday, has a market cap of $2.2 trillion. The entire cryptocurrency market is worth $3.53 trillion, still less than Nvidia’s individual valuation.

Bitcoin trading data shows the cryptocurrency reached over $111,000 during US trading hours. Some analysts suggest Nvidia’s milestone may have catalyzed Bitcoin’s price movement, though the correlation between the two assets appears to be weakening.

The correlation between Nvidia and Bitcoin peaked above 0.80 during early 2024’s AI-driven market euphoria. The three-month average correlation remains relatively strong at 0.69, but recent data shows a decline to around 0.36.

This weakening correlation suggests the two assets may be decoupling as investor focus shifts. While Nvidia’s milestone seemed to trigger Bitcoin’s breakout from weeks of price consolidation, the relationship may become less predictable going forward.

Nvidia’s stock closed Wednesday’s after-hours trading at $163.36, maintaining its position as the world’s most valuable company with a market capitalization just under $4 trillion.