Advertisement
Canada markets open in 1 hour 35 minutes
  • S&P/TSX

    22,851.17
    -144.22 (-0.63%)
     
  • S&P 500

    5,588.27
    -78.93 (-1.39%)
     
  • DOW

    41,198.08
    +243.60 (+0.59%)
     
  • CAD/USD

    0.7310
    +0.0001 (+0.01%)
     
  • CRUDE OIL

    82.72
    -0.13 (-0.16%)
     
  • Bitcoin CAD

    88,487.19
    -18.38 (-0.02%)
     
  • CMC Crypto 200

    1,343.16
    +13.65 (+1.03%)
     
  • GOLD FUTURES

    2,468.90
    +9.00 (+0.37%)
     
  • RUSSELL 2000

    2,239.67
    -24.00 (-1.06%)
     
  • 10-Yr Bond

    4.1460
    -0.0210 (-0.50%)
     
  • NASDAQ futures

    20,083.00
    +85.50 (+0.43%)
     
  • VOLATILITY

    14.50
    +0.02 (+0.14%)
     
  • FTSE

    8,240.54
    +53.08 (+0.65%)
     
  • NIKKEI 225

    40,126.35
    -971.34 (-2.36%)
     
  • CAD/EUR

    0.6686
    +0.0007 (+0.10%)
     

Microsoft back as most valuable firm as Nvidia slips

Jensen Huang, chief executive of Nvidia stands on the mound waiting to throw out the ceremonial first pitch prior to the start of the game between the Houston Astros and Oakland Athletics on May 25, 2024
Jensen Huang, chief executive of Nvidia, threw a ceremonial pitch prior to an Oakland Athletics baseball game in May [Getty Images]

Nvidia has handed back the position as the world’s most valuable company to Microsoft after its share price fell by more than 3.5% on Thursday.

The artificial intelligence (AI) chip giant briefly held the top spot from Tuesday, with a stock market valuation of $3.34tn (£2.64tn).

But Nvidia's shares fell to $130.78 on Thursday, sending its value down to around $3.22tn, with Microsoft reclaiming the title as it held steady at more than $3.3tn.

Nvidia's rise has been fuelled by its dominance of what analysts call the "new gold or oil in the tech sector" - the chips that power AI.

Nvidia, Microsoft and Apple - each worth more than $3tn - are in a three-horse race to be the world's most valuable company.

ADVERTISEMENT

While Nvidia reached the top spot for just a brief period, some analysts have predicted competition between the three technology firms will remain fierce.

"We believe over the next year the race to $4 trillion market cap in tech will be front and centre between Nvidia, Apple, and Microsoft," Wedbush Securities said in a note earlier this week.

Nvidia's stock has boomed thanks to growing demand for chips that train and run generative AI models, such as OpenAI's ChatGPT.

The firm also benefitted significantly from a rush to mine Bitcoin in 2020, which saw a jump in sales of its graphics cards.

Its rise as been mirrored by the growing profile of its boss, Jensen Huang, who has become well-known thanks in part to his popularity in his native Taiwan, where fans treat him like a rock star.