Technology

Nvidia becomes world’s most valuable company

Nvidia has surpassed Microsoft to become the world’s most valuable company. 

The chipmaker’s market capitalization rose to $3.34 trillion on Tuesday, just eclipsing Microsoft, which is valued at $3.32 trillion.

The latest milestone for Nvidia comes less than two weeks after it crossed the $3 trillion mark for the first time and surpassed Apple as the world’s second-most valuable company. 

The company, whose graphics processing units (GPUs) are central to powering tech firms’ highly popular artificial intelligence (AI) models, has seen a rapid rise, crossing $1 trillion for the first time just more than a year ago and $2 trillion nearly four months ago.  

Shares in Nvidia, which are up 180 percent since the start of the year, closed at $135.58 on Tuesday. The chipmaker split its stock last week, cutting its share price by 10 and bringing its stock back within reach of more investors. 

The S&P 500 climbed 0.25 percent and the Nasdaq Composite rose 0.029 percent on Tuesday, both reaching record highs. The Dow Jones Industrial Average also ticked up 56.76 points, or 0.15 percent.