Nvidia follows suit, suspended by Apple as world’s most valuable company

Oct 14 (Reuters) – Shares of Nvidia (NVDA.O) opened a new tab on the major charts on Monday, putting the heavyweight AI chipmaker on the cusp of dethroning Apple (AAPL.O), opened a new tab as the world’s most valuable company. As investors bet on strong demand for Blackwell’s next-generation artificial intelligence processes, shares of the Santa Clara, California-based company rose 2.8 percent to $138.57, just shy of a record intraday high of $140.76 on June 20. In June, Nvidia became the world’s most valuable company. Microsoft has been overwhelmed and the tech market cap has been neck and neck for several months.

Nvidia’s latest market cap gains are $3.4 trillion, just below Apple’s $3.5 trillion and above Microsoft’s $3.1 trillion.
Nvidia was Wall Street’s biggest winner in the race among Alphabet (GOOGL.O), Microsoft, Amazon (AMZN.O) and other major tech companies to dominate emerging artificial intelligence technologies. “We believe the leading AI companies…face an investment environment characterized by a prison dilemma: each individually incentivized to keep spending as the cost of not doing so is devastating,” TD Cowen analysts wrote in a report Sunday.

Nvidia Apple as world’s most Famous companies

TD Cowen reiterated its $165 price target for Nvidia, which it called its “Top Pick.”
As investors prepare for four quarterly reports, Apple rose 1.2% and Microsoft added 0.9%, helping to boost the S&P D (.SPX), which opens a new tab up 0.7% to its all-time high. Taiwan Semiconductor Manufacturing Co (2330.TW), a contract manufacturer that makes Nvidia processors, is expected to report a 40% rise in quarterly profit on Thursday, as demand was released.

Analysts expect spending to build AI data centers to help Nvidia’s annual revenue more than double to nearly $126 billion, according to LSEG data. While Nvidia’s rally lifted the S&P 500’s record-strong index, investor optimism about AI could evaporate if signs emerge of a slowdown in spending on the technology.