Nvidia CEO Returns to $100 Billion Club as AI Chipmaker Achieves $3 Trillion Valuation
- AI Chipmaker Surpasses Apple to Become World’s Second Most Valuable Company
Nvidia, led by CEO Jensen Huang, has seen its market value soar to an astonishing $3 trillion, as reported by the Guardian. This surge has elevated Huang’s net worth to $107.4 billion, placing him just behind tech mogul Michael Dell and Indian billionaire Mukesh Ambani, according to the Bloomberg Billionaires Index.
The artificial intelligence chipmaker has overtaken Apple, the renowned phone manufacturing giant, to become the world’s second most valuable company. Nvidia’s stock rose by 5.16% to $1,224.40, resulting in a market value of $3.01 trillion at market close. In contrast, Apple’s market capitalization stood at $3.00 trillion, with its stock up by 0.78%.
Despite Nvidia’s impressive rise, Microsoft retains its position as the world’s most valuable company with a market value of $3.14 trillion, as its shares saw a slight increase on the same day.
Nvidia’s recent rally comes as the company prepares for a 10-for-one stock split starting this Friday, which could attract more individual investors. The demand for Nvidia’s advanced processors is significantly outpacing supply, driven by tech giants like Microsoft, Meta Platforms, and Google parent Alphabet, all racing to enhance their AI capabilities.
Since issuing a stellar revenue forecast on May 22, Nvidia has surged nearly 30%. Meanwhile, Apple faces challenges such as weak iPhone demand and intense competition in China, the world’s largest smartphone market. Investors perceive Apple as lagging behind other tech giants in integrating AI features into its products and services.
