Apple is accustomed to being on top, but, as they say, nothing lasts forever. Recently, Nvidia, the largest chip manufacturer, has taken the throne as the world’s most valuable company. Nvidia's stock closed on November 5 with an explosive jump of 2.9%. As a result, its market capitalization swelled to an impressive $3.43 trillion. Meanwhile, Apple’s market value remained at a "modest" $3.38 trillion. Microsoft now ranks third with its market cap of $3.06 trillion.
Interestingly, Nvidia used to climb to the top in June, though just for a day. In October, it even surpassed the $3.5 trillion mark, promising a new record high. Since its meteoric rise at the end of 2022, when the world was introduced to OpenAI’s ChatGPT, Nvidia’s shares have skyrocketed. Remarkably, the stock has soared by over 850% in a year! This year, the shares have been already up by another 182%.
What lies behind Nvidia's success? Artificial intelligence, of course. The company's GPUs have become the foundation for powerful AI developments. Their value only increases with each upgrade. Analysts are bullish about Nvidia’s stock in the medium and long term. So, Apple Inc. may need to fight hard to reclaim the crown.
