Nvidia has become the world's most valuable publicly traded company after its shares jumped 3.4%, giving it a market capitalization of about $3.3 trillion. The Jensen Huang-led company has now surpassed both Microsoft and Apple in market value.
Earlier this month, Nvidia capped Apple by market value for the first time since 2002. The two companies have been alternating in rankings in recent days, with Apple briefly overtaking Microsoft for the top spot last week.
Nvidia's stock has surged about 173% this year, while Microsoft's shares have risen around 19%. This surge comes as tech giants Microsoft, Meta Platforms, and Google-owner Alphabet compete to enhance their AI computing capabilities.
The rise in Nvidia shares pushed the stock to a record high, adding over $103 billion to its market capitalization on Tuesday alone. The company's market value has grown from $1 trillion to $2 trillion in just nine months as of February, and it took just over three months to hit $3 trillion in June.
Sam North, a market analyst at investment platform eToro, said, "A stock split can reduce the price per share, making it more affordable for individual investors to buy. With Nvidia doing a 10:1 stock split, retail investors are the real winners here," according to Reuters.