Nvidia’s stock price saw a significant increase on Tuesday, allowing the company to reclaim its $3 trillion valuation after a series of declines that caused it to lose its status as the world’s most valuable public company. The stock closed 6.7% higher, pushing its market capitalization to $3.1 trillion and alleviating concerns among investors about a potential slowdown in its involvement in the AI sector.
The positive momentum continued on Wednesday, with the stock rising more than 2.4% in premarket trading. If this trend persists, Nvidia could see an additional $70 billion added to its market capitalization, bringing it closer to Apple, currently valued at $3.21 trillion.
On June 18, Nvidia briefly held the title of the world’s most valuable company with a market capitalization of $3.34 trillion, surpassing Microsoft. However, a series of trading days saw the company lose $430 billion in market value, causing it to fall to third place in the ranking.
Despite this setback, Nvidia’s recent performance has shown resilience and the stock has regained positive momentum, attracting the attention of investors once again. The company’s key role in the AI revolution continues to be a driving force behind its market performance, with expectations for future growth and innovation remaining high.
Investors will be closely monitoring Nvidia’s trajectory in the coming days to see if it can sustain its recent gains and potentially close the gap with other tech giants like Apple. The competition for the title of the most valuable company is fierce, but Nvidia’s strong position in the AI sector and its ability to adapt to changing market conditions suggest that it remains a key player to watch in the tech industry.
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https://www.investing.com/news/stock-market-news/nvidias-valuation-recovers-to-31-trillion-looks-to-rise-further-432SI-3496932