Business Desk
Jun 01, 2024
Nvidia, an American tech-based company, registered a significant growth because of its pivotal role in the artificial intelligence (AI) revolution. Surprisingly, this year it has elevated its stock prices by nearly 4x compared to the past year and this phenomenal growth has made it rank among the world’s largest companies.
It has even excelled in the market capitalisations of big names in stock exchanges which is an astonishing news for all the major stock exchanges.
Recently, a rally in Nvidia shares has instantly elevated its market capitalisation and reached its heights with a share price which is elevated by approximately 20%. Its mean value has reached almost $2.71 trillion, Nvidia is now edging closer to Apple while standing at a $2.91 trillion market cap.
Read more: NVIDIA CEO shares insight about AI role in industrial revolution
However, Microsoft has been leading them both with a market cap of $3.19 trillion. Meanwhile, Meta platforms earned $1.20 trillion in sales last year.
What is NVIDIA doing right?
As previously discussed, the main reason behind Nvidia’s exponential growth is the AI revolution, as AI has played a pivotal role in its growth and especially its graphic potential units (GPUs) are significantly powering AI applications.
Even, Nvidia has recently made an announcement for the demand of its H200 as well as Blackwell chips supply. CEO Jensen Huang is looking forward for the demands for predecessors of Nvidia's AI chips.
In comparison to Nvidia, Apple has faced a great challenge this year because of continuous scrutiny and reduced iPhone sales abroad has affected their market. However, Apple's stock price have also increased up to 9% from last year.
