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In this article NVDA AAPL Follow your favorite stocks CREATE FREE ACCOUNT NVIDIA founder, President and CEO Jensen Huang speaks about the future of artificial intelligence and its effect on energy consumption and production at the Bipartisan Policy Center in Washington, D.C., on Sept.
27, 2024. Chip Somodevilla | Getty Images Nvidia passed Apple in market cap on Tuesday becoming, for a second time, the most valuable publicly traded company in the world. Nvidia rose nearly 3% to close with a market cap of $3.
43 trillion, ahead of Apple at $3.4 trillion. Nvidia shares have almost tripled in 2024, as investors show continued confidence in the company's ability to maintain a rapid growth rate from its graphics processing units, or GPUs, and a leadership position in the artificial intelligence market.
Apple shares are up about 17% this year, although many analysts say the recent release of the Apple Intelligence suite of features for iPhones could drive increased sales and put the company in a leadership position in "edge AI," which relies less on GPU-based servers. Nvidia is the dominant supplier of GPUs, which are used to develop and deploy advanced AI software such as OpenAI's ChatGPT. Its stock is now up more than 2,700% in the past five years, and revenue has more than doubled in each of the past five quarters, tripling in three of them.
Apple was the first company to reach a $1 trillion and a $2 trillion market cap. Nvidia previously passed Apple in June before sliding over the summer. Microsoft , ranked third with a market cap of close to $3.
1 trillion, is a major customer of Nvidia GPUs to fuel its partnership with OpenAI as well as its own AI ambitions. Founded in 1991 to produce chips for playing 3D games, Nvidia has taken off in recent years for a very different reason. Over the past decade, scientists and researchers discovered that the same Nvidia chip designs that could render polygons and computer graphics were ideal for the kind of parallel processing needed for AI.
Nvidia then developed software and more powerful chips specifically for AI. Last week, Apple reported a 6% increase in revenue for the most-recent quarter but signaled weaker growth than analysts expected in the current period. Nvidia is scheduled to report results Nov.
20. S&P Dow Jones announced last week that Nvidia will join the Dow Industrial Average on Friday, replacing longtime rival Intel , and joining Apple in the blue-chip index. Don’t miss these insights from CNBC PRO 3 reasons why Warren Buffett is shunning stocks — including his own Goldman’s election scenario probabilities and how the S&P 500 will react Here's what usually happens to the S&P 500 during a presidential election week What Nvidia's Dow inclusion means for the chipmaker, according to history WATCH: The Dow is modernizing by replacing Intel with Nvidia VIDEO 10:09 10:09 The Dow is modernizing by replacing Intel with Nvidia, says Jim Cramer Mad Money with Jim Cramer.
