Nvidia overtakes microsoft in market cap

June 04, 2025 (MLN): Nvidia has overtaken Microsoft in market capitalization, once again becoming the most valuable publicly traded company in the world.

Shares of the artificial intelligence chipmaker rose approximately 3% on Tuesday to $141.4, pushing its market cap to $3.45 trillion. Microsoft closed the day with a market cap of $3.44tr.

Nvidia’s stock has surged nearly 24% over the past month, driven by strong growth despite concerns over export controls and tariffs, as CNBC reported.

The company previously reached the top of the market cap rankings on January 24 and has been trading places with Apple and Microsoft since last June.

On Tuesday, Nvidia and other chip stocks helped boost the broader market. Broadcom rose 3%, and Micron Technology gained 4%.

The VanEck Semiconductor ETF, which tracks chip stocks, also gained 2%.

Last week, Nvidia reported adjusted earnings of 96 cents per share on $44.06 billion in sales for its fiscal first quarter, reflecting a 69% increase from the same period last year an exceptional growth rate for a company of its size.

Nvidia’s rapid expansion is fueled by its AI chips, which power applications developed by companies such as OpenAI, including ChatGPT.

Major tech firms like Microsoft, Meta, Google, Amazon, Oracle, and xAI are buying these AI accelerators in massive volumes to support advanced AI infrastructure.

Founded in 1993 to create chips for 3D gaming, Nvidia has evolved into a dominant force in AI computing, with its chip designs now central to the parallel processing required for artificial intelligence applications.

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