Nvidia Market Value Nears $5 Trillion as AI Boom Powers Wall Street Momentum

date
20:04 29/10/2025
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GMT Eight
Nvidia’s market capitalization has surged close to $5 trillion, driven by relentless investor demand for AI-related exposure. The stock rose nearly 3% as orders for its advanced GPUs and AI infrastructure systems continued to expand across data centers and corporate clients. Its rally has lifted major U.S. indexes to record highs, underscoring the tech sector’s dominance in market performance.

Nvidia Corporation’s stock climbed sharply on Monday, pushing its market capitalization close to the $5 trillion mark, a level that places it among the world’s most valuable publicly traded companies. The surge highlights the persistent investor enthusiasm surrounding artificial intelligence and the semiconductor industry’s central role in the next phase of technological growth.

The company’s shares gained nearly 3% during intraday trading, driven by strong demand for its advanced GPUs and cloud-AI systems. Analysts noted that new orders from hyperscale data-center operators and enterprise AI deployments continue to accelerate, extending the cycle that began in 2023. Nvidia’s upcoming quarterly report is widely expected to show another double-digit revenue increase, fueled by expanding adoption across sectors from cloud computing to defense.

Nvidia’s rise has also provided a major tailwind for the broader U.S. equity market, lifting the S&P 500 and Nasdaq to record highs. Its dominance now underscores how concentrated the current bull market has become—Nvidia, alongside other megacaps like Microsoft and Apple, accounts for an outsized share of the index’s year-to-date gains.

Still, some strategists warn that such concentration carries risk. With valuations stretched and competition from AMD, Intel, and custom in-house chips by tech giants intensifying, the sustainability of Nvidia’s near-monopoly pricing power could face challenges if supply expands too quickly.

For now, however, Nvidia’s run encapsulates the defining market story of 2025: the fusion of AI, computing power, and investor optimism. As global firms race to build their AI infrastructure, Nvidia’s chips remain the indispensable hardware of the digital age—and its soaring valuation shows that Wall Street is still betting the AI revolution has much further to run.