Nvidia Reclaims Title as World's Most Valuable Company, Surpassing Apple

In Brief:

Nvidia's shares rose by 2.84%, pushing its market capitalization to $3.43 trillion, surpassing Apple and Microsoft.

Nvidia's stock has nearly tripled this year, driven by strong sales growth and investments in AI and accelerated computing.

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Nvidia Reclaims Title as World's Most Valuable Company, Surpassing Apple

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Nvidia has once again overtaken Apple to become the world's most valuable company, following a 2.84% increase in its share price. This surge propelled Nvidia's market capitalization to $3.43 trillion, surpassing Apple's $3.38 trillion and Microsoft's $3.06 trillion.

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Nvidia's Rise Fueled by AI and Computing Investments

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The impressive rise in Nvidia's stock, which has nearly tripled this year, is attributed to robust sales growth and strategic investments in accelerated computing and generative AI. The company first surpassed both Apple and Microsoft in June, albeit briefly, and has now reclaimed the top spot.

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In contrast, Apple's shares have struggled to recover from a late October slump due to weaker-than-expected sales outlooks and fiscal Q4 earnings. Similarly, Microsoft faced one of its worst trading days in two years after cutting its guidance for the fourth quarter of 2024.

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Nvidia's leadership in AI technology, particularly in computer chips and graphics processing units, has positioned it as a key player in the rapidly growing AI industry. Asset manager UBS projects AI revenue to reach $420 billion by 2027, with Nvidia poised to benefit from this growth trend.

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