NVIDIA's Market Cap Surges 400% in Two Years, Hits $4 Trillion

On July 9, local time, NVIDIA, a leading chip manufacturer, achieved a historic milestone by becoming the first company globally to surpass a market capitalization of $4 trillion. The company's stock price peaked at $164.42 before closing at $162.88, with the market capitalization settling at $3.97 trillion. This remarkable achievement comes just two years after NVIDIA reached a $1 trillion market capitalization in 2023, marking a quadrupling of its market value in a short span of time.

NVIDIA's rapid growth is largely driven by the booming AI industry, which has significantly increased the demand for the company's advanced computing solutions. The company's market capitalization surpassed that of Apple, which had previously set a record of $3.915 trillion in December of the previous year. Over the past month, NVIDIA's stock price has risen by more than 15%, and since the beginning of the year, it has increased by 22%. This strong performance demonstrates the company's resilience to external disruptions.

Earlier in the year, NVIDIA faced challenges due to concerns over computational resources and export regulations, which led to a temporary decline in stock price and a loss of tens of billions of dollars in business. However, policy adjustments in May and significant deals in the Middle East helped the stock price rebound, surpassing 40% growth. NVIDIA's founder, Jensen Huang, has remained optimistic about the company's future, projecting that the company's revenue for the year would reach nearly $200 billion, a 55% increase from the previous year. Huang also predicted that AI and robotics technologies would generate tens of billions of dollars in sales for the company in the coming years, as the upgrade and expansion of processors and infrastructure would solidify NVIDIA's competitive advantage.

In addition to its financial achievements, NVIDIA has been actively acquiring talent and companies. Recently, the company acquired two startups, including Nexusflow and CentML, and integrated their employees into NVIDIA's workforce. These acquisitions are part of NVIDIA's strategy to strengthen its position in the AI and machine learning sectors. NVIDIA's success is not limited to its financial performance. The company is also making strides in product development. It is reported that Huang will showcase an improved version of the Blackwell RTX Pro 6000 chip, which is specifically designed for the market and is scheduled for release in September. This chip is expected to generate significant interest from clients, although demand may be lower than that for the previously banned H20 chip, as many companies are now exploring domestic chip options.