Nvidia, an AI-based chip design and manufacturing company, has surprised everyone by becoming the world’s most valuable company.
Until six months ago, no one thought that this company would become the world’s most valuable company. On June 18, its market cap reached $3.34 trillion. Its shares have jumped 181% since January.
On January 2, 2024, its stock was trading at $48, and on June 18, it reached $135.58. This means that an investment made on January 2, 2024 has more than doubled. It is not easy for such a large company to achieve this. This shows that the company has the potential and the business to invest in.
Left behind in the market cap race
Nvidia first surpassed Meta, the company that runs Facebook, Amazon, and then Alphabet, Google’s parent company, in the market cap race. No one thought it would surpass Apple and Microsoft, but that happened on June 18. The stock has gained nearly 45% in a month. On June 18, Nvidia and its founder Jensen Huang made history.
Nvidia’s founder and work
Nvidia was founded by Jensen Huang in 1993. He has built the company, but he only owns 3.5% of it. Today, his net worth is estimated to be around $64 billion.
Initially, the company only made video game graphics chips, but later the company decided to make AI-based chips and invested heavily in research and development. The company launched its first AI-based chip after spending around $10 billion on R&D and is today the world’s largest AI-based chip maker. The company’s chips are used in everything from crypto mining to cloud computing. Companies like Amazon, Microsoft, and Google use Nvidia’s chips for their cloud operations.
Key Points
- Nvidia’s market cap reached $3.34 trillion on June 18, surpassing Microsoft and Apple.
- The company’s shares have jumped 181% since January.
- Nvidia is the world’s largest AI-based chip maker.
- The company’s chips are used in everything from crypto mining to cloud computing.
Additional Information
- Nvidia was founded in 1993 by Jensen Huang.
- The company is headquartered in Santa Clara, California.
- Nvidia has over 20,000 employees worldwide.
