Nvidia's Market Capitalization Soars to a Historic $277 Billion in the Largest Single-Day Wall Street Surge

In an unprecedented event on Wall Street, Nvidia's market capitalization experienced a monumental surge, increasing by $277 billion in a single day. This remarkable growth has set a new record for the biggest one-day gain in Wall Street history. The surge came after Nvidia's quarterly report surpassed expectations and fueled a rally driven by optimism about artificial intelligence.

Nvidia, a heavyweight in the technology sector, added $277 billion to its market value on Thursday, marking the largest one-day increase Wall Street has ever witnessed. This surge was sparked by a quarterly report that not only exceeded analysts' high expectations but also reignited the rally powered by enthusiasm for artificial intelligence.

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The company's shares skyrocketed by 16.4%, closing at a record high of $785.38. This jump increased Nvidia's market capitalization to $1.96 trillion. The January quarter report, published on Wednesday, revealed that the demand for Nvidia's specialized chips, used in artificial intelligence computations, continues to outpace even the lofty expectations set by analysts.

Headquartered in Santa Clara, California, USA, Nvidia's results have injected new momentum into the global rally of technology companies associated with artificial intelligence. This momentum has propelled the S&P 500, the European STOXX 600, and the Japanese Nikkei to all-time highs.

On Thursday, Nvidia shares were traded to the tune of $65 billion, accounting for nearly a fifth of all S&P 500 stock trades.

The one-day increase in Nvidia's market value has become the largest in Wall Street history, easily surpassing the previous record gain of $196 billion by Meta Platforms on February 2nd. This record was set after the parent company of Facebook announced its first dividends and posted strong results.

Nvidia's market value increase on Thursday eclipsed the entire value of Coca-Cola (KO.N), which stood at $265 billion.

This milestone has positioned Nvidia as the third most valuable company on the US stock market, surpassing giants like Amazon.com and Alphabet in recent weeks.

With Microsoft and Apple valued at $3.06 trillion and $2.85 trillion respectively, they remain the two most valuable companies on Wall Street.

Nvidia's shares have risen by 58% in 2024, contributing to more than a quarter of the S&P 500's growth since the beginning of the year. This makes Nvidia's prospects exceptionally important not only for its direct shareholders but also for those owning index funds widely represented in retirement savings accounts.

Previously, Mind reported that Nvidia's shares had jumped by 15%. This latest surge underscores the company's significant impact on the technology sector and its pivotal role in the ongoing excitement around artificial intelligence, solidifying its position as a key player in the global market.