One Big Number: Nvidia’s Massive Market Cap
According to Bloomberg, Nvidia’s market capitalization would reach $974 billion if the recent stock boom continues, increasing its lead as the most valuable chipmaker in the world. With a further $50 billion, it would join the exclusive trillion-dollar club, which now only includes Apple, Saudi Aramco, Microsoft, Alphabet, and Amazon. Tesla and Meta joined the exclusive club in 2021, but have since dropped from it.
Quotable: Is Nvidia’s Stock Rally Sustainable?
“[T]he AI hype will inevitably normalize in the coming months as focus returns to currently stifled demand under the current macroeconomic climate, which could temper optimism over a structural recovery that has been recently priced into the Nvidia stock. Until cyclical tailwinds return, it will be difficult for optimism on longer-term AI-driven secular growth trends to prevail as a structural driving force in valuations.”—Livy Investment Research in March 2023
Throwback: Apple’s $191 Billion Surge
According to Bloomberg, Apple’s $190.9 billion gain on November 10, 2022, surpassed the record for the largest one-day increase by a US-listed firm. The increase followed the release of upbeat statistics showing that US inflation declined far more than anticipated in October, which sparked a larger market surge from which Apple profited. Amazon previously held the record, as its shares increased by $190.8 billion in a single day in February of that year.
Charted: Largest Single-day Stock Jumps In The Us
Company of interest: PetroChina Co.
Nvidia is a long way from setting a new global stock-rally record. On its first day of trading in Shanghai in November 2007, the Chinese oil and gas corporation PetroChina, the listed division of the state-owned China National Petroleum Corporation (CNPC), gained about $600 billion.
