Nvidia’s success in the tech industry has been reflected in its recent surge in value at the New York Stock Exchange. On Tuesday, Nvidia saw a 3.2% increase in share value, boosting its market capitalization to $3.33 trillion and surpassing Microsoft as the world’s most valuable publicly traded company.
The growth in Nvidia’s value is largely attributed to its AI-related earnings, with about 80% of the chips used by data centers being produced by Nvidia. The company’s business with data centers grew significantly over the past year, accounting for 86% of its total sales. This success has been fueled by the increasing demand for artificial intelligence technologies, which has positioned Nvidia as a leader in the market.
Nvidia’s share prices have been steadily rising, posting a 172% gain during the first quarter of the fiscal year. The company accrued $26 billion in revenues during this quarter, marking a substantial increase compared to the previous year. Along with Microsoft and Apple, Nvidia is one of only three publicly traded companies with a market capitalization exceeding $3 trillion.
This recent surge in Nvidia’s value follows the launch of its free artificial intelligence app, ChatGPT. The continued success of Nvidia in the AI industry has solidified its status as a top player in the tech sector and positioned it as a leader in this rapidly growing field.