NVIDIA has reclaimed its position as the world’s second-largest company by market capitalization, benefiting from the growing demand for artificial intelligence (AI).
On Monday, NVIDIA’s market capitalization surpassed that of Microsoft, making it the second-largest company globally after Apple. According to data from the New York Stock Exchange (NYSE), NVIDIA’s stock closed 2.24% higher at $127.72, boosting its market value to $3.13 trillion and overtaking Microsoft’s $3.04 trillion.
Analysts attribute NVIDIA’s stock surge to positive developments from Supermicro, a company specializing in AI server technology. Supermicro recently announced the deployment of over 100,000 GPUs using direct liquid cooling (DLC) solutions at one of the world’s largest AI factories, which caused Supermicro’s stock to soar by 15.79%.
Notably, NVIDIA bucked the broader market trend, which saw major tech stocks decline that day. The Nasdaq index fell by 1.18%, and shares of the “Magnificent Seven” companies—including Apple, Microsoft, Alphabet (Google’s parent), Amazon, Meta (Facebook’s parent), and Tesla—dropped simultaneously. Despite this, NVIDIA distinguished itself with significant gains.
NVIDIA, Microsoft, and Apple have been in close competition for the title of the biggest companies in the world by market cap. In June, NVIDIA briefly surpassed Microsoft for the second spot but soon fell back. Now, it has successfully reclaimed that position.
Wall Street analysts remain optimistic about NVIDIA’s future, predicting that the strong demand for AI chips will continue to drive its stock price even higher in the coming months.
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