Wall Street's most traded stock is now Nvidia, surpassing Tesla

After surpassing Amazon and Alphabet, Nvidia becomes third most traded US stock after Microsoft and Apple
The NVIDIA booth is shown at the E3 2017 Electronic Entertainment Expo in Los Angeles, California, U.S. June 13, 2017. — Reuters

The NVIDIA booth is shown at the E3 2017 Electronic Entertainment Expo in Los Angeles, California, U.S. June 13, 2017. — Reuters

After surpassing Amazon and Alphabet, Nvidia has become the most traded stock on Wall Street after outshining Elon Musk's Tesla, the renowned electric vehicle (EV) manufacturing firm. The chipmaker is now chasing up with Microsoft and Apple.

Third most valuable US company

Indicating investors' inclination towards AI-backed businesses, the surprising shoot in its stock value propels its already unmatched reputation on the market, making the artificial intelligence (AI) chipmaker giant the third-most valuable US company.

Owning about 80% of the high-end AI chip market, day-to-day stock trading of Nvidia might make the investors apprehended if the company registers less revenue growth than what the investors are expecting from it as well as put an end to persistently remarkable stride on Wall Street which is driven by the optimism around AI.

Read more: Nvidia overtakes Alphabet as Wall Street's third most valuable company

The Santa Clara, Nvidia's quarterly report late on Wednesday (today) is going to be one of Wall Street's most watched events this week. If the report would show less than what propelled Nvidia's stock value 40% in 2024, industry experts fear for a halt or a recede in its value. Nvidia stock plunged about 5% on Tuesday, reflecting investors' anxieity ahead of the report, Reuters reported.

For the past 30 trading sessions, Nvidia shares of worth around $30 billion have been traded every day on an average, leaving behind Tesla whose day-to-day worth of traded shares valued at $22 billion per day over the same period. As per the LSEG data, Tesla had been reigning in the daily US stock trading since 2020.

The collective trading in Nvidia and Super Micro Computer, another AI company making the most of AI boom, recorded for 46% of entire turnover of the 10 most traded US stocks, including Tesla, Meta Platforms, Apple, Amazon, and Microsoft.

Having almost tripled its value to $43 billion so far in 2024, Super Micro — a company which sells AI server components to Nvidia — fell about 5% on Tuesday after a experiencing 20% dip from record highs on Friday following similarly-valued stock rate covered by Wells Fargon which termed its discounts "solid upside".