Nvidia Most Valuable Company Again at $3.76T on AI Boom

Key Points

• Nvidia Most Valuable Company Again at $3.76T on AI Boom
• AI chip demand pushes stock to record $154.10
• Loop Capital lifts Nvidia target from $175 to $250
• Tesla’s robot project, backed by Nvidia, draws attention

Nvidia has reclaimed its position as the most valuable company in the world, fueled by a strong surge in AI momentum. On Wednesday, Nvidia stock rose over 4%, reaching an all-time high of $154.10, pushing its total market value to $3.76 trillion, overtaking Microsoft’s $3.65 trillion.

This jump followed a Loop Capital note raising Nvidia’s price target from $175 to $250, keeping a bullish “Buy” rating. The report highlighted faster-than-expected adoption of generative AI, placing Nvidia at the forefront of what analysts call the next “Golden Wave” of AI growth.

“Nvidia is at the front-end of another material leg of stronger-than-anticipated demand,” said analyst Ananda Baruah.

🚨 NVIDIA: The New King of Wall Street

From gaming GPUs to AI’s backbone—NVIDIA just dethroned Microsoft as earth’s most valuable company.

Why it matters:
• Every AI model needs chips
• NVIDIA owns ~80% of the AI chip market
• Tech giants are fighting for supply

The big… pic.twitter.com/OK77TVKe8L

— Cliffinkent 🇬🇧 (@Cliffinkent) June 25, 2025

As the key supplier of AI GPUs, Nvidia powers leading AI models and platforms, including ChatGPT and image generators. Its chips are the backbone of next-gen infrastructure, like the Germany AI Cloud Project, which is building Europe’s own AI ecosystem.

Nvidia is also investing in future sound models, including innovations like Fugatto—a new AI system capable of creating complex, multilayered audio compositions.

Even after this sharp rally, Nvidia’s valuation is not overextended. It trades at around 30x forward earnings, which is still under its 5-year average of 40x. Analysts say this shows growth is being backed by real earnings and not just hype.

The chipmaker’s stock has climbed 60% since early April, rebounding from a dip caused by tariff concerns under Donald Trump. Nvidia’s global strategy includes navigating regulatory risks. It recently warned the UK about falling behind on AI infrastructure, calling for urgent upgrades to stay competitive.

🚨 NVIDIA becomes the world’s most valuable company 💥$NVDA now leads with a $3.75T market cap, clearing $MSFT by over $100B 😳

From gaming chips to AI dominance…
The silicon king wears the crown 👑 pic.twitter.com/SEAfPwF4KK

— AssetMarketCap (@AssetMarketCap) June 25, 2025

Tesla’s AI Robot Vision Aligns with Nvidia’s AI Ecosystem

Tesla’s AI journey is expanding fast, and Nvidia is a key player in that story. While Tesla is widely known for electric vehicles, its recent work on the Optimus humanoid robot is drawing fresh attention.

Nvidia’s CEO, Jensen Huang, even cited Optimus as a standout effort in the booming humanoid robotics industry, which he believes will be worth trillions.

Optimus is being trained to operate in factories without breaks, potentially increasing Tesla’s production efficiency. But the vision doesn’t stop there. Elon Musk believes this robot could eventually be used in households and other labor-intensive industries, making it more valuable than Tesla’s car business.

The robot’s development aligns with Nvidia’s broader AI goals. The company backs startups like Figure AI, which is building similar robots to work safely and efficiently alongside humans.

Nvidia is once again the most valuable company in the world

Neither tariffs nor export controls can keep down the king 👑

So maybe they don’t need to be so desperate to sell chips to China? pic.twitter.com/0eqMEk7A8c

— Peter Wildeford 🇺🇸🚀 (@peterwildeford) June 26, 2025

The synergy between Nvidia’s chips and these robots’ brains is no coincidence—it’s a strategic move to dominate the AI+robotics crossover market.

Tesla’s shares are up 30% in June, thanks to its robotaxi pilot in Texas. The excitement mirrors the buzz surrounding Meta, which recently made waves by hiring top OpenAI researchers to boost its own AI capabilities.

However, analysts say Tesla still faces a long road. Optimus is promising, but its future depends on scalability, reliability, and market readiness. For Nvidia, though, Tesla’s AI push is more validation of its ecosystem’s dominance.

The AI Boom Is Redefining the Tech Market Landscape

Nvidia’s rise isn’t just about one stock—it’s a reflection of how AI is redrawing the global tech map. The S&P 500’s technology index rose 0.9% Wednesday, hitting a new high. So far in 2025, it’s up nearly 6%, with AI at the center of the rally.

Companies that power AI development, from chipmakers to cloud platforms, are now top market drivers. Nvidia sits at the heart of this shift, providing the GPUs, systems, and software needed for everything from AI agents in mobile OS like HarmonyOS 6 to business tools like Salesforce’s AgentForce 3.

Nvidia isn’t just selling hardware—it’s shaping the foundation of AI itself. As industries like healthcare, robotics, and finance integrate AI deeper into operations, Nvidia becomes even more central.

The competition is fierce. Microsoft continues to lead in cloud-based AI tools via Azure and OpenAI. Apple, while quieter on AI, holds a $3 trillion valuation and is expected to announce its own AI features later this year.

Still, Nvidia’s position as the “picks and shovels” supplier of the AI revolution gives it a strong moat. It enables nearly every innovation in this space—from cloud models to robots—making it a rare enabler across the AI value chain.