After a record 2024, at least in the months we have had, NVIDIA has achieved a milestone that few expected a few years ago. The graphics card firm, which actually does many more things, has surpassed Apple and has become the second company in the world by market capitalization.
When one asks about the most valuable company in the world by its stock market value, the immediate answer is to say Apple, Microsoft or Amazon. They are the companies that everyone has in mind as the largest on the planet. However, quite quietly, NVIDIA is close to becoming the most valuable in the world. At the moment, it has already surpassed Apple.
Overcoming Apple is the first step
As we have already mentioned, NVIDIA has exceeded 3 trillion dollars in market capitalization and is 100 billion dollars away from surpassing Microsoft and becoming the most valuable company in the world. Its shares are trading at $1,224 at the time of writing this article, which makes its capitalization exceed the aforementioned magical figure that few companies have achieved in their history.
Ahead is Microsoft with $3.15 trillion in capitalization, a figure that could exceed if the current trend continues. The most striking thing today is that it has surpassed Apple, which has long been the most valuable in the world and which the company responsible for Windows, Xbox or Azure surpassed not long ago.
To put NVIDIA’s meteoric evolution into context, in the last 5 years its stock market value has increased by +3265.59% while Apple has grown by +312% in that same time. That is to say, NVIDIA has grown 10 times more than the company with the bitten apple in the same time and is firmly on its way to being the most valuable company in the world.
AI is going to change everything
Think about NVIDIA doing it in its graphics cards, but the truth is that this stock market success is not precisely due to this basic equipment for computers. Artificial intelligence is what has gotten the company listed at $3.01 billion. Its AI chips give it more than 80% market share in data centers and account for a good part of the company’s total sales.
The latest results published have confirmed the good omens for the company. Its profits skyrocketed 628%, to $14,881 million. This has been key to continuing its particular stock market rally. In fact, 90.3% of the firms that follow the value recommend buying, while 9.7% choose to hold.
