Nvidia shares rose 5% to $1,224.40 on Wednesday, pushing its market capitalization to over $3 trillion for the first time, surpassing Apple to become the second-largest public company after Microsoft, CNBC reports.
Nvidia, which reached a $2 trillion valuation in February, quickly advanced to $3 trillion in about three months. The company’s recent first-quarter earnings reported $26 billion in sales, more than triple the previous year, with a forecast of $28 billion for the current quarter. Nvidia’s growth is fueled by the tech industry’s demand for its GPUs, essential for developing AI models like OpenAI’s ChatGPT, with major companies such as Google, Microsoft, Meta, Amazon, and OpenAI investing heavily in Nvidia’s products.
This marks a significant milestone in Nvidia’s remarkable growth, with its stock rising over 3,224% in the past five years. The company plans a 10-for-1 stock split later this month.
