Nvidia's m-cap hits $3 trillion; overtakes Apple as the second most valuable company in the world

The shares of Nvidia on Wednesday rallied to record highs. The chip-maker's stock market valuation hit the $3 trillion mark overtaking tech giant Apple as the second most valuable country in the world.

During the wednesday trading Nvidia's stock briefly hit an intra-day record high of $1,223.59, giving it a value of $3.010 trillion at a moment when Apple's stood at about $3.005 trillion

Nvidia shares rally

The rally comes as the company prepares to split its stock ten-for-one, effective on June 7, a move that could increase its appeal to individual investors. Meanwhile, Microsoft remains the world's most valuable company with a market value of $3.14 trillion as its shares climbed 1.5%.

As per Reuters, so far in 2024, Nvidia's stock surged 147% as the demand for its top-of-the line processors outstrip the supply. Meanwhile its competitors Microsoft, Meta Platforms and Google-owner Alphabet are working to build out their AI computing capabilities.

Since May 22 when Nvidia announced its stellar revenue forecast, the stock has rallied 30%.

On Wednesday, stocks of AI chip firms went up with the PHLX chip index surging about 4%. Super Micro Computer, which sells AI optimized servers built with Nvidia chips, climbed nearly 5%.

Also watch: Nvidia surges over 15% after Q4 revenues soars, up 265% year on year