Nvidia Exceeds Amazon In Market Capitalization, Becomes The Fourth Largest US Company Thanks To AI

Nvidia had surpassed Amazon.com Inc in market capitalization, (photo: x @nvidia)

JAKARTA - On Monday, February 12, Nvidia had surpassed Amazon.com Inc in market capitalization, as euphoria around artificial intelligence prompted this chipmaker to become the fourth largest US company.

At a record high of USD 734.96, Nvidia is worth USD 1.82 trillion in market value, compared to USD 1.81 trillion for retail giant Amazon.com and several billion from Alphabet's value, Google owners, amounting to USD 1.87 trillion, according to LSEG data.

The last time Nvidia was worth more than Amazon was in 2002, when both were worth under $6 billion each.

Following Amazon's higher-than-expected holiday quarter sales last month, investors are looking forward to Nvidia's quarterly results on February 21, which is the only megakap company to report financial results this season.

High hopes accompany the report with stocks up 47% this year, making it the biggest winner among the S&P 500 components.

Nvidia's outstanding quarterly results and strong projections a year ago confirmed that the chip design company is in a superior position in supplying technology companies working on generative AIs such as chatbots and image-making.

The stakes on AI's strong demand have swept Nvidia's stock, making it the best-performing stock among the so-called "Magnificent Seven" with a 223% spike over the past 12 months. Meta Platforms is in second place with a 163% increase.

Microsoft in January surpassed Apple to become the world's largest company, with Alphabet in third place.