Nvidia Soars to New Heights: The World's First $4 Trillion Company

Nvidia has officially made history by becoming the first company ever to achieve a staggering market value of $4 trillion. This milestone was reached as the chip-maker’s shares surged by 2.4% to $164 amidst an exponential demand for technology integral to driving the artificial intelligence (AI) revolution. The company’s remarkable ascent began in June 2023, when it first crossed the $1 trillion mark, and it has been on a rapid incline since then.

Tech analyst Dan Ives from Wedbush Securities described this achievement as a historic moment for Nvidia, emphasizing that the company’s chips have become as valuable as gold and oil. He noted that Nvidia is not just a player in the tech world; it is the foundation of the AI revolution.

Despite experiencing fluctuations in their share price due to external economic pressures, including the tariff war instigated by US President Donald Trump, Nvidia rebounded vigorously. Their value has surged significantly since the spring, capitalizing on the booming demand for AI chips, particularly those used in generative AI models like ChatGPT.

In terms of profitability, Nvidia reported an astonishing $44.1 billion in total revenue for the first quarter, reflecting a 69% increase compared to the previous year, alongside earnings of 81 cents per share. This financial performance underscores Wall Street’s confidence in Nvidia’s role in the future of technology, particularly in AI, despite the ongoing economic turbulence.

The rise of Nvidia has also propelled its CEO Jensen Huang into the limelight, with Mark Zuckerberg humorously dubbing him “the Taylor Swift of tech,” indicating his newfound celebrity status, especially in regions like Taiwan, where he is treated like a rock star. In essence, Nvidia’s journey to a $4 trillion valuation reflects not only its technological dominance but also the broader growth outlook for AI in the market.