NVIDIA Corporation has outpaced Apple, Inc. to claim the title of the world's largest publicly traded company. The company's market capitalization of $3.43 trillion has put it ahead of Apple's valuation of $3.38 trillion, a feat supported by its strong presence in the artificial intelligence chip sector. This strategic position within the AI market has been a key driver behind NVIDIA's remarkable growth of over 200% in the past year, showcasing its importance in technological advancements.
This shift in market capitalization saw NVIDIA briefly surpassing Apple back in June before experiencing fluctuations over the summer months. NVIDIA's rise to the top spot underscores the increasing significance of AI technology and the crucial role played by the company's specialized hardware in its evolution. Despite the challenges faced in the industry, particularly during the summer period, the spotlight on NVIDIA's AI-driven growth has remained steady, with analysts expressing confidence in its upward trajectory.
Analysts from prominent firms like BofA Securities, Goldman Sachs, and Morgan Stanley have provided positive outlooks for NVIDIA, with an average price target of $163.33 based on their assessments. This forecast indicates a potential 17.04% upside for NVIDIA's stock, further reinforcing the optimistic sentiment surrounding the company. Furthermore, NVIDIA's recent inclusion in the Dow Jones Industrial Average, set to replace Intel Corp., signifies a significant milestone for the company as it joins Apple in this prestigious index. NVIDIA's stock price saw a 2.84% increase to $139.91 by the end of Tuesday's trading session, underlining its strong performance in the market.