Nvidia stock market value surpassed $2 trillion for the first time on Friday, an increase propelled by artificial intelligence, subsequent to the publication of a positive report by Dell Technologies.
They shares increased by 4% in response to Dell’s sanguine forecast, which predicted a substantial rise in demand for its AI-optimized servers fueled by Nvidia processors. Several investors’ confidence in Nvidia increased following the disclosure of Dell’s forecast.
Simultaneously, Dell’s stock underwent a significant ascent, exceeding all prior records and reaching its highest point of 38% during the trading session before concluding with a commendable 32% gain.
As of Friday, they had achieved the status of the third-most valuable company worldwide, surpassing Microsoft with a market capitalization of $2.06 trillion. With a market capitalization of $2.77 trillion, the chipmaker is the second-largest company, trailing only Microsoft, which holds $3.09 trillion.
Read More
Nvidia Becomes the Fourth Most Valuable Company in the World
Furthermore, Super Micro Computer, a provider of servers powered by Nvidia processors, observed a favourable increase of 4.5 percent. Additionally, additional chipmakers have benefited from the exponential growth of AI. Broadcom and Marvell Technology are two organizations that have achieved approximate 8% growth. At the same time, Advanced Micro Devices (AMD), the primary rival of Nvidia, disclosed a 5% surge in revenue.
Subsequently, the PHLX semiconductor index witnessed a notable 4.3% rise, setting a new record and complementing its considerable 18% growth for the year 2024.
Nvidia will continue to maintain its lead:
However, for the time being, Nvidia will continue to maintain its lead. Microsoft, Alphabet, OpenAI (the developer of ChatGPT), Meta Platforms, and the information technology sector as a whole are among the illustrious clientele of Nvidia.
In the realm of high-end AI processors, The company maintains an approximate 80% market share. Prominent individuals in the field have been acquiring their components at an unsettling pace to remain updated on the perpetually changing generative AI environment.
Share this content:
One Comment