Nvidia Surpasses $4 Trillion Market Cap
Nvidia has made history by becoming the first company to exceed a market capitalization of $4 trillion, solidifying its position as the world’s most valuable company, surpassing giants like Microsoft and Apple. The surge in Nvidia’s stock, which rose by 12.6% in July, is attributed to ongoing advancements in artificial intelligence and a new benchmark set for the company’s stock.
On July 14, CEO Jensen Huang announced that Nvidia would resume sales of its H20 chips to China after a three-month suspension, potentially recovering significant revenue. The company previously took a $4.5 billion charge due to the ban, indicating that the resumption could unlock over $9 billion in quarterly revenue. Nvidia is scheduled to announce its fiscal 2026 second-quarter results on August 27, with projected revenue of approximately $45 billion, which could rise following the sales restoration.
With Nvidia controlling 90% of the data center GPU market, analysts are optimistic about its future. The company’s stock is currently valued at 31 times next year’s earnings, which is considered attractive given its growth potential.