10 July 2025

Nvidia Achieves Milestone as First Company to Reach $4 Trillion Valuation

Nvidia has made history by becoming the first company to achieve a $4 trillion valuation. Their stock price rose by as much as 2.5% on Wednesday, surpassing the previous record of $3.9 trillion held by Apple since December. Ultimately, Nvidia’s shares closed at $162.88, bringing the company’s market value down to $3.97 trillion. Since hitting a low in early April, Nvidia’s stock has rallied over 70%, marking a significant recovery during a turbulent period for global markets triggered by President Donald Trump’s tariffs.

Tech analyst Dan Ives heralded Wednesday’s achievement as a monumental moment for the technology sector in the United States. This record value comes against a backdrop of massive investments by major tech players such as OpenAI, Amazon, and Microsoft, who are pouring billions into building data centers essential for advancing the artificial intelligence revolution. While all these companies rely on Nvidia’s chips, some are also working on developing their technology. In the first quarter of 2025, Nvidia’s revenue skyrocketed by approximately 70%, surpassing $44 billion, with expectations of an additional $45 billion in sales in the current quarter.

Nvidia CEO Jensen Huang emphasized the robust global demand for the company’s AI infrastructure during a recent conference call with investors. This surge in growth drove Nvidia’s stock up nearly 20% this year and led to a remarkable 1,500% increase over the past five years. Despite these successes, Nvidia has encountered challenges along the way. In early April, the company anticipated a substantial setback due to Chinese export restrictions, projecting a $5.5 billion impact.

This prediction ultimately materialized into a $4.5 billion loss during the subsequent quarter. Additionally, Huang has emerged as a prominent figure in the AI domain, actively engaging with global leaders to discuss Nvidia’s role in the technological landscape. Currently, Nvidia leads the market, followed closely by Microsoft, Apple, Amazon, Alphabet, and Meta Platforms in valuation.