Nvidia Corp. has now become the largest company in the world, surpassing Apple Inc. in terms of market capitalization. This shift highlights the increasing influence of artificial intelligence in the financial markets.
Nvidia's shares have experienced a significant surge, rising by 2.9% to $139.93. The company's remarkable growth of over 850% since the end of 2022 reflects strong investor confidence in its role within the AI infrastructure cycle. Analysts on Wall Street have consistently raised their earnings and profit estimates for Nvidia, indicating high expectations for its future performance.
Nvidia currently accounts for 7% of the S&P 500 Index and has contributed significantly to the benchmark's 21% gain this year. This recent development follows Nvidia's brief period as the largest company in June, highlighting the volatile yet impactful nature of the tech sector amidst ongoing discussions about inflation and job numbers.