Nvidia has become the world’s first public company to hit a $4 trillion market valuation, marking a major milestone in the tech and finance industries.
Reuters reports the tech giant’s shares climbed to a record high of $164 on Wednesday, driven by continued investor enthusiasm around AI and its dominant role in powering that growth.
Nvidia’s rise has been meteoric. It first reached a $1 trillion valuation in June 2023 and has now quadrupled that figure in just two years. That pace far outstrips what was seen from Apple and Microsoft, the only other U.S. companies with valuations above $3 trillion.
Microsoft remains in second place with a market capitalization of $3.75 trillion, as its shares also ticked higher.
Nvidia’s success reflects its central role in the ongoing AI boom. As demand grows for AI tools and services across industries, the company’s chips are viewed as essential infrastructure. That perception has made its stock a favorite among investors betting on AI’s future impact.
The latest surge in share price, up 2.5 percent on the day, pushes Nvidia further ahead of its peers and cements its influence across both tech and markets.
Nvidia’s challenges
The road to $4 trillion hasn’t been entirely smooth sailing. Earlier this year, Chinese startup DeepSeek introduced a lower-cost large language model that led many to wonder if Nvidia could maintain their competitive edge. Those concerns have since faded as Nvidia continued to deliver strong financial results and new products, reassuring markets.
Nvidia has also had to contend with macroeconomic volatility. In April, the company’s shares dipped sharply following trade tensions sparked by former President Donald Trump’s tariff plans.
At the time, global markets reacted to fears of renewed instability in U.S.–China trade relations, but signs of progress in trade talks and optimism about future deals have supported a broad market recovery.
The S&P 500 has reached new highs, and Nvidia has rebounded by roughly 74 percent from its April lows.
Nvidia’s rise comes as AI moves from being a niche research focus to a core part of business strategy for many large companies.
From cloud services to healthcare, autonomous vehicles to retail, AI applications are expanding quickly, and Nvidia’s hardware continues to play a key role in powering those systems.
That foundational position gives it a unique advantage, one that investors clearly believe will continue to drive growth.
What do you think about Nvidia’s $4 trillion milestone? Let us know in the comments.
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