Nvidia’s (NVDA) recent spectacular share price rally continues, as the computer chip manufacturer has overtaken Microsoft (MSFT) to claim the title of the most valuable company on the planet.
Nvidia Becomes the Most Valuable Company in the World
The rise happened on Tuesday, as the NVDA shares soared to create a new total market capitalisation of $3.34tn. It came following a day where a surge of more than 3% in the share price took it to a new record high of $136.
That took the company’s valuation to 180% higher than at the start of 2024. NVDA shares were valued at under 1% of the current price eight years ago.
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This impressive rise happened less than a month after NVDA had overtaken Apple (APPL) on the list of the world’s most valuable companies. NVDA’s share price surge has been driven by the rush to adopt its powerful computer chips that power AI software. The California-based tech company has managed to get ahead of giants like Google (GOOG) and Meta (META) in the race to capture the lion’s share of the AI market.
Nvidia’s leather jacket-wearing chief executive Jensen Huang has become a leading figure in the tech sector and has recently been named the 11th richest person in the world, mainly thanks to his 3% stake in the company.
Huang has said that he avoids 1-to-1 meetings and that “in that way, our company was designed for agility. For information to flow as quickly as possible and for people to be empowered by what they can do, not what they know.”
