Nvidia, a California-based chip maker, has achieved the largest single-day increase in market value in Wall Street history. On Wednesday, Nvidia added $330 billion to its market capitalisation, surpassing its previous record of a $277 billion gain set in February.
Nvidia adds $330 Billion in historic daily market value gain
Nvidia, a California-based chip maker, has achieved the largest single-day increase in market value in Wall Street history. On Wednesday, Nvidia added $330 billion to its market capitalisation, surpassing its previous record of a $277 billion gain set in February.
The company’s shares surged nearly 13 percent, driven by expectations of continued strong demand for its chips. This followed Microsoft’s announcement on Tuesday that AI-related capital spending for the 2024 fiscal year had risen 60 percent to $69 billion.
With this latest rally, Nvidia’s market cap has reached $2.88 trillion, positioning it as the world’s third most valuable company, following Apple and Microsoft. Nvidia, whose graphics processing units (GPUs) are crucial for AI development, briefly became the world’s most valuable company in June, surpassing Microsoft with a market cap of $3.335 trillion.
Over the past year, Nvidia shares have increased by more than 150 percent, outpacing any other major US company. Despite this growth, the company has experienced significant volatility; just a day before the latest rally, shares dropped 7 percent, reducing the company’s value by $193 billion.