Nvidia, on Tuesday, moved ahead of other tech companies to become the world’s most valuable publicly traded company.
The chip company, which has seen tremendous growth over the past 18 months due to excitement about generative AI, rose 3.4 percent around 1:25 pm (1725 GMT), giving it a market value of about $3.3 trillion, slightly surpassing Microsoft and Apple.
This California-based company, headed by Jensen Huang, has experienced a surge in profits thanks to high demand for its advanced GPU chips, which are leading the industry in advancing new AI technologies.
“We believe over the next year the race to $4 trillion market cap in tech will be front and center between Nvidia, Apple, and Microsoft,” said a note earlier this week from Wedbush Securities.
“Nvidia’s GPU chips are in essence the new gold or oil in the tech sector as more enterprises and consumers quickly head down this path with the 4th Industrial Revolution well underway.”
In May, Nvidia announced a net profit of $14.9 billion. Its revenue reached $26 billion, nearly quadrupling compared to the same fiscal quarter last year.
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Credit – AFP