Nvidia joins Apple, Amazon, Microsoft, and Alphabet in the $1 trillion club. But please don't forget us PC gamers, Jen-Hsun

pcgamer.com:

Nvidia's done it, it has now joined the $1 trillion club, getting its door card to the gold-plated executive toilet along with such tech luminaries as Amazon, Microsoft, and Alphabet (essentially Google). Oh yeah, and purveyor of overpriced technology, Apple. 

The milestone was reached today (via The Guardian) as its share price continued to surge after the huge Q2 revenue estimates made during its recent Q1 earnings call. It completely distracted from the fact it was 13% down year-on-year by noting that it expected revenue to hit $11Bn in Q2—64% up year-on-year.

But, while the share price made a huge jump on the back of that announcement, it's only today, after a 6% rise, that it's breached the $1 trillion mark in terms of market capitalisation. In fact, it's still rising as I write this and the market cap is actually standing at $1.02 trillion right now.

That's all based on the fact it's powering the current darling of the tech industry, namely generative AI. Nvidia's datacentre GPUs are the parallel number crunching monsters running the likes of ChatGPT and that's given it a new seat at the top table of big tech.

It's maybe worth noting that market analysts have been warning about Nvidia being overvalued for some time now, but they might reconsidering that right now as the company has pushed past the price it reached back in the heady days of late 2021, when its share price topped out at a shade under $330. 

AI isn't going away, and the fact it's now trading for $412 is still pretty remarkable. But there have been noises about an AI tech bubble that could burst at some point sending share prices crumbling. That and the fact Nvidia made less than a tenth of the revenue that Alphabet did last year does maybe suggest