Move over, Apple. NVIDIA became the second most valuable company in the world with a capitalization of $3.01 trillion with a capitalization of $3.01 trillion

NVIDIA has become the second most valuable company in the world. On Wednesday evening, the market capitalization of the chip giant reached $3.01 trillion, surpassing Apple, which is valued at $3 trillion.

Currently, NVIDIA dominates the artificial intelligence race, primarily thanks to the H100 chips. The company's market capitalization continues to grow. Just a year ago, in May 2023, NVIDIA's value reached $1 trillion, then surpassed $2 trillion in February of this year, overtaking Amazon and Alphabet (Google).

In May, NVIDIA reported a massive profit of $14 billion from all chip sales, causing its shares to rise by 24%. Currently, NVIDIA is only behind Microsoft, whose market capitalization is currently $3.15 trillion. NVIDIA's stock is priced at $1224, but the company plans to split the shares on June 7.

Investors are confident that the enormous growth in NVIDIA's sales to cloud companies will continue. Over the last quarter, its revenue from data center business, including GPU sales, grew by 427% compared to the previous year, reaching $22.6 billion, approximately 86% of the company's total sales.

Meanwhile, Apple's shares have only risen by about 5% this year, as the growth in iPhone sales from the manufacturer has stalled in recent months. In its latest quarterly profit report, Apple stated that overall sales dropped by 4%, and iPhone sales decreased by 10% compared to the same period last year. Apple is facing strategic issues and challenges regarding demand in China, production, and the mixed reactions to its new Vision Pro virtual reality headset.

Apple was the first company to reach a market capitalization of $1 trillion and then $2 trillion. For a long time, it held the title of the most valuable company in the United States, but earlier this year, it was surpassed by Microsoft, which also benefited from investor demand for AI infrastructure.

NVIDIA holds from 70% to 95% of the artificial intelligence accelerator market. The company plans to launch a new AI chip every year, starting with the Blackwell B200 GPU, expected later this year. The new architecture of the Vera Rubin GPUs has also been officially announced.

Sources: CNBC, The Verge,Google Finance