Nvidia's market value soars to $2 trillion in 2024 amid AI-driven surge

Photo: Instagram/@nvidia

Nvidia became the biggest global winner in market capitalization in 2024, thanks to the growing demand for artificial intelligence. The company’s AI-focused chips gained popularity across different industries, fueling a massive surge in its market value.

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By the end of 2024, Nvidia’s market value had grown by more than $2 trillion, climbing to $3.28 trillion. This impressive growth made it the second most valuable publicly traded company worldwide. Just a year earlier, at the end of 2023, Nvidia’s market value was $1.2 trillion.

Apple, however, held onto its position as the most valuable company in the world, with its market value nearing an unprecedented $4 trillion. This rise was largely driven by investor excitement about Apple’s expected AI upgrades, which are designed to give a fresh boost to slowing iPhone sales.

Microsoft stood in third place at the close of 2024, with a market value of $3.1 trillion. Alphabet Inc. and Amazon followed closely, each valued at around $2.3 trillion.

These tech giants played a key role in boosting global stock indexes throughout the year. The S&P 500 index jumped by 23.3%, while the Nasdaq climbed an even higher 28.6%.

Even with concerns about higher stock prices, ongoing trade tensions between the U.S. and China, and the possibility of slower U.S. interest rate cuts, analysts remain optimistic about the tech sector’s performance in 2025.

Daniel Ives, an analyst at Wedbush Securities, expects tech stocks to grow by 25% in 2025. He credits this potential growth to factors such as fewer regulatory pressures under Donald Trump’s presidency, strong developments in AI, and a solid foundation for major tech companies and Tesla.

“We believe tech stocks will remain strong in 2025, powered by the ongoing AI revolution and over $2 trillion of additional AI investments expected in the next three years,” Ives explained.