Nvidia dethrones Microsoft as world’s most valuable tech firm, in ongoing market capitalisation battle of the big three
Nvidia continues to be the darling of Wall Street, after it dethroned Microsoft to become the most valuable tech firm in the world.
On Wednesday morning Nvidia’s share price was trading at $135.58, giving it market capitalisation of $3.335 trillion, slightly ahead of the other two firms (Microsoft and Apple) that make up the ‘big three’ most valuable publicly traded tech firms.
Microsoft’s share price closed on Tuesday at $448.37, giving it a market capitalisation of $3.31 trillion. Apple’s share price meanwhile was at $214.29, giving it a market capitalisation of $3.286 trillion.
Top spot
Apple’s AI announcements at its annual developer conference last week had triggered a three-day stock price rally that saw its market value briefly overtake Microsoft for most valuable listed US firm.
But now Nvidia has surged to the top spot.
It comes after the GPU giant earlier this month had briefly overtaken Apple to become the second most valuable tech firm in the world, worth over $3 trillion.
The achievement of Nvidia’s dethroning Microsoft to become the most valuable tech firm in the world comes after it recently completed its 10-for-1 stock split, as it sought to lower its share price to help new investors acquire its highly sought after shares.
Nvidia carried out a 10-1 stock split, which meant each share was divided in 10.
That meant that if an investor previously had 10 Nvidia shares, they now have 100.
Nvidia has become a much sought-after target for investors, due to soaring demand for its chips, which are used to power artificial intelligence applications.
Meteoric rise
Nvidia’s stock price has endured a meteoric rise in recent years, after it more than tripled in 2023.
Indeed in May 2023 Nvidia’s market value had surpassed the $1 trillion mark.
And so far in 2024, Nvidia’s share price has nearly tripled.
Indeed, it was only in February 2024 when Nvidia’s Q4 and FY24 results had helped push the firm’s market value (market capitalisation) close to the $2 trillion mark.
Then just three months after reaching close to the $2 trillion mark, Nvidia added another $1 trillion in market value to become the most valuable tech firm, which is quite a remarkable achievement.
Meanwhile other big name tech firms are some way behind the big three.
Amazon is currently worth $1.902 trillion, and Alphabet (Google) is now worth $2.171 trillion.
But the most valuable company in the world is Saudi Arabia’s national oil company, Saudi Aramco, which has a market valuation just under $6.703 trillion.
