AI chip leader Nvidia hit a market capitalization of $3 trillion on Wednesday, becoming the third U.S. company to do so after Apple and Microsoft. Nvidia stock has been on a tear lately.
Nvidia is riding a wave of positive news this week from the Computex trade show in Taiwan. At the conference, Nvidia Chief Executive Jensen Huang outlined the company's roadmap for graphics processing units for AI data centers for the next two years.
Nvidia is the market share leader in GPUs for running generative artificial intelligence applications. Investment bank Jefferies said Wednesday that Nvidia has 86% share of cloud computing accelerators in use.
In afternoon trading on the stock market today, Nvidia stock reached the magic number of 1,219.51 per share to claim a $3 trillion market cap. Nvidia ended the regular session up 5.2% to 1,224.40.
Year to date, Nvidia stock has risen 147%.
Nvidia Stock Is On Five IBD Lists
Nvidia reached the $3 trillion milestone just 66 trading days after notching a $2 trillion value. By contrast, it took Apple and Microsoft 719 and 650 trading days, respectively, to climb from $2 trillion to $3 trillion, according to Dow Jones Market Data.
Meanwhile, Apple stock on Wednesday returned to the $3 trillion level after a six-month swoon. Microsoft is the largest company of the three with a current market cap of $3.15 billion.
Nvidia will execute a 10-for-1 stock split after the market close on Friday.
Nvidia stock is on five IBD stock lists: Leaderboard, IBD 50, Big Cap 20, Sector Leaders and Tech Leaders.
Further, Nvidia is a member of the Magnificent Seven stocks.
Follow Patrick Seitz on X, formerly Twitter, at @IBD_PSeitz for more stories on consumer technology, software and semiconductor stocks.
