Nvidia just made history. The chip giant's shares surged 3.2% in premarket trading Wednesday, pushing its market value past the unprecedented $5 trillion threshold - making it the first company ever to reach this milestone. The surge comes on the heels of CEO Jensen Huang's announcement of $500 billion in expected AI chip orders.
Nvidia just shattered every market cap record on the books. The AI chip powerhouse crossed the $5 trillion valuation mark in premarket trading Wednesday, becoming the first company in history to reach this extraordinary milestone. Shares jumped 3.2% before market open, capping off a stunning 50% year-to-date rally that's left Wall Street scrambling to recalibrate their price targets.
The surge comes just hours after CEO Jensen Huang dropped a bombshell at the company's developer conference in Washington D.C. Nvidia expects to fulfill $500 billion worth of AI chip orders, according to Huang's remarks reported by CNBC. But that's not all - the company simultaneously announced plans to build seven cutting-edge supercomputers for the U.S. government, signaling just how deeply embedded the company has become in America's AI infrastructure strategy.
This isn't just another tech stock milestone. Nvidia's ascent to $5 trillion represents the fastest corporate value creation in modern history. The company that once focused on graphics cards for gamers has morphed into the architect of the AI revolution. Every major tech giant - from Microsoft to Google to Meta - depends on Nvidia's H100 and next-generation Blackwell chips to power their AI ambitions.
The numbers tell an incredible story. Just five years ago, Nvidia was worth roughly $300 billion. The AI boom has added more than $4.7 trillion to its market cap - more than the entire GDP of most countries. Data center revenue alone has exploded from $2.9 billion in fiscal 2022 to over $60 billion projected for this fiscal year, according to company filings.
"We're witnessing the iPhone moment for artificial intelligence," one Wall Street analyst told investors in a note obtained by The Tech Buzz. "Nvidia isn't just riding the wave - they built the surfboard." The company's gross margins have expanded to over 70% as demand for AI chips vastly outstrips supply, creating what industry insiders call a "perfect pricing storm."
