Nvidia hits record $5 trillion market cap

(Dan Tri) - Just over three months after becoming the first company to reach a market capitalization of $4 trillion, Nvidia continues to set a new record by officially reaching a market capitalization of $5 trillion.

Nvidia's stock price jumped 4% shortly after the US stock market opened on Wednesday morning (local time), pushing the company's market capitalization above $5,000 billion, the first company in history to reach this milestone.

Previously, last July, Nvidia was also the first company to reach a market capitalization of 4,000 billion USD and has held the position of the company with the largest market capitalization in the world since then.

The 10 companies with the largest market capitalization in the world today, 8 of which are technology companies (Photo: CMK).

Nvidia’s stock price has increased by more than 50% since the beginning of the year, helping the company’s market capitalization far surpass the tech giants. Apple and Microsoft currently have market capitalizations of $4.017 trillion and $4.006 trillion, respectively, ranking second and third on the list of the world’s largest companies.

Nvidia's stock price has surged in recent days after CEO Jensen Huang said Nvidia is expecting to receive $500 billion in AI chip orders and announced plans to build seven new supercomputers for the US government .

Nvidia also just announced that it has purchased a $1 billion stake in Nokia, creating a strategic partnership with the Finnish telecommunications company to jointly develop next-generation 6G mobile network technology.

Nvidia's stock has risen about 1,500% in value over the past five years, fueled by two main factors: demand for cryptocurrency mining hardware and the explosion of artificial intelligence (AI).

In the past, when cryptocurrencies developed, mining systems required many high-performance graphics cards - one of Nvidia's main products. In the past three years, the need to build supercomputers for AI training and operation has also increased the demand for AI chips and GPUs.

Market analysts predict that as long as the AI ​​"fever" has not cooled down, Nvidia will continue to profit.

Big tech companies like Google, Microsoft, Meta and OpenAI have spent billions of dollars buying Nvidia GPUs to serve large-scale AI projects. The shortage of graphics cards due to demand far exceeding supply has appeared many times in the market.

Nvidia was founded in 1993 by Jensen Huang, Curtis Priem and Chris Malachowsky, of which Mr. Huang still serves as Chairman and is a key executive.

From May 2023 to July this year, Nvidia reached the capitalization milestones of 1,000 billion USD, 2,000 billion USD, 3,000 and 4,000 billion USD in just over a year.

The surge in stock prices has boosted Chairman Jensen Huang's fortune. According to Forbes , he is now worth $179.8 billion and is the eighth richest person in the world.

Source: https://dantri.com.vn/cong-nghe/nvidia-dat-moc-von-hoa-ky-luc-5000-ty-usd-20251030021059154.htm