Nvidia’s shares had more than doubled this year as of Thursday’s close, adding more than $1.3 trillion to the company’s market capitalization, a figure that is expected to rise again on Thursday after the company reported better-than-expected quarterly results.
The chipmaker is seeing surging demand for semiconductors used to power artificial intelligence (AI) applications, with its latest quarterly revenue more than tripling from the same period a year ago.
It’s the latest sign that the excitement around artificial intelligence isn’t going away anytime soon. Nvidia, which ranks as one of the most prominent companies in the AI field, is producing astonishing numbers. The outline is as follows.
$221 billion
This represents an increase in Nvidia’s market value on Thursday alone. Notably, this is only the second largest single-day increase in the company’s market value this year, behind the record $273 billion increase on February 22nd. Thursday’s rise came after Nvidia announced that its net income increased more than seven times year-over-year. Revenue for the first quarter ended April 28 was $14.88 billion, up from $2.04 billion a year earlier.
$1,374 billion
That’s how much Nvidia’s market cap has increased so far this year, according to FactSet. In other words, Nvidia’s year-to-date increase is more than the market cap of Facebook and Instagram’s parent company Meta Platforms. Overall, only six of the 500 companies in the S&P 500 have a market cap of more than $1.152 trillion, including Nvidia.
$2.593 trillion
NVIDIA’s market capitalization as of Thursday’s close. The company overtook Amazon and Alphabet earlier this year to become the third-largest public company by market capitalization, behind Microsoft ($3.172 trillion) and Apple ($2.864 trillion). Two years ago, the company’s market capitalization was about $418 billion.
$1,037.99
As of Thursday’s close, NVIDIA’s stock price made it just the ninth company in the S&P 500 to have a share price above $1,000 (which sounds more remarkable than it actually is), but that could soon change. On Wednesday, NVIDIA announced it was planning a 10-for-1 stock split, meaning the number of shares outstanding would increase by 10 times, but each share would be priced at nearly $100 a share. The company said the split, which will take effect after the market closes on June 7, will make its shares more accessible to employees and investors.
$26 billion
Nvidia’s latest fiscal quarter earnings. This is more than three times the $7.2 billion in the same period last year. Wall Street expects NVIDIA to bring in $117 billion in revenue in its 2025 fiscal year. This would be nearly double his 2024 earnings and more than four times his earnings the year before that.
53.4%
Nvidia’s estimated net profit margin, or the percentage of revenue that it makes profits. Another way to look at this is that for every dollar of revenue Nvidia made, it lost about 53 cents to its bottom line last year. By comparison, Apple’s net profit margin in its most recent quarter was 26.3%, and Microsoft’s was 36.4%. However, both of these companies made significantly more money than Nvidia.
