Investing.com — Nvidia rallied on Wednesday, pushing its value above $3 trillion for time ever as the chipmaker continues to ride the artificial-intelligence wave to new heights.
At 15:33 ET, NVIDIA Corporation (NASDAQ:NVDA) shares rallied more than 4% to high of $1,218.04, and had earlier jumped to a record of $1,223.59, pushing its market value above $3TN. Nvidia is the third company to notch $3TN in value, with Microsoft Corporation (NASDAQ:MSFT) and Apple Inc (NASDAQ:AAPL) in lead.
The surge in Nvidia followed recent strong quarterly results and guidance that topped Wall Street estimates that fueled further bets the surge in AI-related spending on semiconductors is set to continue. In its quarterly results, the chipmaker also announced a 10-to-1 stock split,, which will take effect on Jun. 7, making its stock more affordable and accessible to larger group of investors.
Nvidia recently announced a new series of AI chips to succeed its current Blackwell chips at a time when rivals including AMD (NASDAQ:AMD) and Intel (NASDAQ:INTC) have attempted to narrow the gap.
But “despite claims by rivals (AMD, Intel, custom chips or ASICs) we see NVDA with a multi-year lead in performance, pipeline (Blackwell, successors), incumbency, scale and developer support (5mn+),” BofA said in a note, reaffirming its buy rating and street-high $1500 price target on the stock.
