It appears that the American chip manufacturer Nvidia is soon to join the club of companies worth over $1 trillion, alongside other giants like Apple and Amazon. The company’s valuation is skyrocketing along with its stock.
Semiconductors are on everyone’s lips, and chip manufacturer Nvidia is, of course, part of the race. The stock has surged over 100 percent so far this year, leading to a valuation that could soon reach $1 trillion and earn a place in the exclusive club that currently has only four other members: Apple, Microsoft, Alphabet, and Amazon, as reported by CNBC.
Nvidia joining the club
Nvidia is not far from the milestone, as its valuation reached $950 billion on Thursday, up from $755 billion the day before.
The American company could become the fifth member of the exclusive Wall Street club, which was formed by Apple five years ago. Nvidia’s sales are soaring as the world’s demand for AI continues to increase, with a constant rise in demand for graphics processors used by Google, Microsoft, and ChatGPT manufacturer OpenAI.
Rajvindra Gill, an analyst at Needham, has no doubt that the chip manufacturer will reach a valuation of $1 trillion.
“In 2021, we already suggested that Nvidia would become the first semiconductor company with a market valuation of $1 trillion. While there have been some ups and downs over the years, we believe that Nvidia is in a position to achieve that valuation over time.”