Santa Clara-based Nvidia becomes most valuable company in the world

(AP) — Chipmaker Nvidia became the first public company to top $4 trillion in value on Wednesday after a two-year investor frenzy.

Nvidia shares rose 2.5%, or $3.97, in early trading Wednesday, topping $164 each. At the beginning of 2023, Nvidia shares were around $14 each.

The poster child of the AI boom, Nvidia has grown into largest company on Wall Street, surpassing Microsoft, Apple, Amazon and Goo — it is now worth over $3 trillion — and the stock’s movement carries more weight on the S&P 500 and other indexes than every company except Apple.

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Two years ago, Nvidia’s market value was below $600 billion.

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Nvidia and other companies benefiting from the AI boom have been a major reason the S&P 500 has climbed to record after record recently, with the latest coming last week. Their explosion of profits has helped to propel the market despite worries about stubbornly high inflation and possible pain coming for the U.S. economy from tariffs and other policies of President Donald Trump.

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