Nvidia has claimed another milestone by overtaking Saudi Aramco in market value, making the chip maker the world’s third-most valuable public company after Apple and Microsoft.
The company ended Friday’s session at US$2.06-trillion, closing above the $2-trillion mark for the first time. Meanwhile, Aramco’s value dipped to $2.03-trillion. Nvidia shares climbed even further on Monday, climbing more than 5% by 1.33pm US Eastern and placing its market value at $2.16-trillion.
Nvidia shares have skyrocketed on the back of blowout earnings that reaffirmed Wall Street’s optimism on the potential for artificial intelligence to reshape the technology industry.
The company dominates the market for graphics chips designed for complex computing tasks needed to power AI applications that companies are rushing to develop.
The rally has been relentless this year. The stock has climbed about 66% and added some $834-billion in value.
Meanwhile, Aramco has dropped over 5% this year, with lower production as a result of Opec+ cuts and a potential follow-on offering by the Saudi government weighing on the shares. — Subrat Patnaik, with Farah Elbahrawy, (c) 2024 Bloomberg LP