Nvidia's 22% Stock Surge Boosts Jensen Huang's Wealth to $142 Billion

Nvidia, the prominent semiconductor company, has seen its market capitalization approach $4 trillion, positioning its co-founder and CEO, Jensen Huang, to potentially surpass Warren Buffett in terms of net worth. Huang's wealth, primarily derived from his approximately 3.5% stake in Nvidia, has increased by $27.6 billion since the start of the year, reaching $142 billion. This rapid growth has placed Huang in a position to challenge Buffett, whose net worth stands at $144 billion, an increase of $2.19 billion since January 1.

Nvidia's stock price has risen by approximately 22% year-to-date, driven by the company's dominance in the artificial intelligence (AI) sector. The company's computer chips have become a strategic resource for leading AI developers, fueling its market capitalization growth. Analysts predict that Nvidia's market value could peak near $6 trillion, highlighting the company's strong position in the tech industry.

Buffett, known as the "Oracle of Omaha," has been actively donating his wealth to various charitable causes. In June, he announced a $6 billion donation to five charitable organizations, bringing his total donations over the past two decades to over $60 billion. Despite these donations, Buffett's net worth remains substantial, but the rapid growth of Nvidia's stock price suggests that Huang could soon surpass him on the global rich list.

However, Huang's path to surpassing Buffett is not without challenges. Nvidia's stock price has experienced significant volatility this year, including a 17% single-day drop in January due to concerns over the use of its chips in China's AI labs. Additionally, a 9% drop in March was triggered by trade tensions with Mexico, where Nvidia has manufacturing facilities. Despite these setbacks, Nvidia has regained its upward momentum on Wall Street since June, indicating that investor concerns may have temporarily subsided.