Nvidia tops the stock market value of Germany, France and the UK
Nvidia’s furious rally to become the king of megacap stocks has also put it above the entire stock market value of some of the world’s largest economies. On Tuesday, Nvidia surpassed a $3.3 trillion market capitalization, surpassing Microsoft to become the largest stock in the US. However, its market capitalization exceeds the cumulative value of the entire stock markets in Germany, France and the United Kingdom, individually. and in US dollars. This was pointed out by Deutsche Bank in its “intraday chart”. According to Deutsche Bank, only India, Japan, China and the US have larger stock markets than Nvidia. Nvidia has become the main way for investors to bet on the development of artificial intelligence. Major language models deployed over the past year, including OpenAI, rely on high-end semiconductors to operate effectively. Nvidia is considered to be ahead of its competitors in this chip race. And although semiconductors are inherently a cyclical business, the potential for long-term AI investment across the business world has Wall Street analysts predicting Nvidia will continue to grow for many years. year. The excitement shows no signs of abating. According to Deutsche Bank, Nvidia added $1 trillion in market capitalization in just 23 trading days from May 20 – the fastest on record. By comparison, Warren Buffett’s Berkshire Hathaway is only worth about $900 billion after 135 years. This recovery also raises concerns about the US stock market’s concentration on just a few technology names. According to Deutsche Bank, Nvidia, Apple and Microsoft alone are on track to have a combined value of $10 trillion, equivalent to the value of the entire S&P 500 as of 2010.
