Nvidia made history on Friday by briefly surpassing Apple to become the world’s most valuable company, marking the first time since mid-June that the AI chip giant has claimed this prestigious position. Nvidia’s stock surged as much as 3% during intraday trading, reaching a high of $144.13 and pushing its market capitalization to an impressive $3.53 trillion. Meanwhile, Apple’s stock traded up less than 1%, giving it a market valuation of $3.52 trillion at the time.
By early afternoon, the two tech giants were trading neck-and-neck, with Nvidia paring its gains to approximately 1% and both companies hovering around the $3.52-$3.53 trillion valuation mark. This remarkable achievement underscores Nvidia’s meteoric rise in the AI era, which began accelerating after OpenAI released ChatGPT in November 2022.
The numbers tell an extraordinary story of growth: since ChatGPT’s debut, Nvidia has added $3.1 trillion to its market valuation, with its stock price soaring more than 740%. This unprecedented expansion reflects the company’s dominant position as the primary supplier of GPU chips that power artificial intelligence applications across the technology industry.
Wall Street analysts remain bullish on Nvidia’s prospects, with several major firms projecting continued growth. Bank of America analysts recently raised their price target to $190, describing the opportunity as “generational” and citing Nvidia’s expanding lead in the AI space. CFRA Research analyst Angelo Zino set his target at $160, pointing to an intensifying “AI war” among major cloud computing companies.
Zino emphasized that Nvidia’s upcoming Blackwell chip architecture will capture greater market share from hyperscale cloud providers, generating increased revenue across GPUs, CPUs, networking equipment, and software. The analyst expects Nvidia to exceed consensus estimates throughout 2025 as Blackwell production ramps up.
Investors and industry observers are now eagerly awaiting Nvidia’s third-quarter earnings report next month, which will provide crucial insights into the company’s continued dominance in the AI chip market and whether it can sustain its position as the world’s most valuable company.
Key Quotes
The higher multiple and target reflect our higher conviction that NVDA will post results that exceed our/consensus views in CY 25, as Blackwell ramps.
CFRA Research analyst Angelo Zino explained his $160 price target for Nvidia, emphasizing confidence in the company’s next-generation Blackwell chip architecture and its ability to exceed market expectations throughout 2025.
Blackwell will take greater wallet share from hyperscalers (e.g., greater GPU, CPU, networking, and software revenue) amid an AI war in the cloud.
Angelo Zino described how Nvidia’s Blackwell platform will capture increased spending from major cloud computing companies as they compete aggressively to build AI infrastructure, expanding Nvidia’s revenue streams beyond just GPU sales.
Our Take
Nvidia’s brief overtaking of Apple as the world’s most valuable company is more than a market milestone—it’s a symbolic passing of the torch that reflects a fundamental shift in technology’s center of gravity. While Apple revolutionized personal computing and mobile devices, Nvidia is now powering the AI revolution that many believe will be even more transformative. The 740% stock surge since ChatGPT’s launch demonstrates how quickly AI has moved from hype to genuine economic force. However, this valuation also raises questions about sustainability and concentration of power. Nvidia’s near-monopoly in AI chips creates both opportunity and risk, as any stumble in execution or emergence of competitive alternatives could significantly impact its valuation. The upcoming earnings report will be crucial in determining whether Nvidia can maintain this lofty position or if this represents a peak in AI infrastructure investment.
Why This Matters
Nvidia’s ascent to become the world’s most valuable company represents a watershed moment in the AI revolution and demonstrates how artificial intelligence is fundamentally reshaping the global economy. The company’s $3.1 trillion valuation increase in less than two years illustrates the massive capital flowing into AI infrastructure and the technology’s perceived transformative potential.
This development signals that AI has moved from experimental technology to essential infrastructure, with enterprises, cloud providers, and governments racing to secure the computing power necessary for AI applications. Nvidia’s dominance in GPU chips has positioned it as the critical enabler of this transformation, essentially becoming the “arms dealer” of the AI gold rush.
The implications extend beyond Nvidia itself. The company’s valuation reflects investor confidence that AI will drive productivity gains, create new business models, and generate trillions in economic value over the coming decade. For businesses, this underscores the urgency of AI adoption strategies. For workers, it highlights the accelerating pace of AI integration across industries. The “AI war” among cloud providers mentioned by analysts suggests intensifying competition that will likely drive innovation while potentially concentrating power among a few dominant players in the AI ecosystem.
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