On Tuesday, Nvidia Corp (NVDA.O) became the first U.S. chipmaker to achieve $1 trillion in market capitalization.
Premarket trade saw shares up 3.5% at $402.91.
Meta, valued at $670 billion as of its last closure, reached the trillion-dollar market capitalization milestone in 2021, joining Apple Inc (AAPL.O), Alphabet Inc (GOOGL.O), Microsoft Corp (MSFT.O), and Amazon.com Inc (AMZN.O).
Nvidia’s sales projection last week surprised investors by more than 50%, putting AI in the spotlight.
Wall Street analysts raised their price targets in droves after Nvidia’s “unfathomable” and “cosmological” prediction. Google-parent Alphabet’s highest price objective was $1.6 trillion.
Last week, Nvidia’s shares soared 25%, boosting AI-related stocks and chipmakers, enabling the Philadelphia SE Semiconductor index (.SOX) to close at its best in almost a year.
Alphabet and Microsoft are using generative AI, which can talk like humans and write poetry and humor, after ChatGPT’s success.
