Nvidia on the verge of taking the lead: Chip giant approaches Apple

Nvidia is currently the shining star in the stock market, with the California-based company once again approaching the position of the world's most valuable company, putting heavyweights like Apple on edge. Given the enormous expectations for the new Blackwell AI processors, the stock price reached significant heights, approaching the previous record high from June. In June, Nvidia temporarily reached the top of global corporate valuations before being overtaken by Microsoft. Since then, the tech giants have been in an exciting race. Currently, Nvidia's market value stands at $3.4 trillion, just behind Apple at $3.5 trillion, with Microsoft following at $3.1 trillion. Nvidia benefits significantly from the intense competition among tech giants like Alphabet, Microsoft, and Amazon, which are vying for dominance in the emerging field of artificial intelligence. Analyses from TD Cowen highlight that leading AI companies face an investment environment that forces them into steady spending. This is also reflected in the optimistic assessment of market leader Nvidia. In anticipation of the upcoming reporting period, the shares of Apple and Microsoft also increased, helping the S&P 500 reach new highs. The rising demand for Nvidia's processors is also expected to lead to record profits at its contractor, Taiwan Semiconductor Manufacturing Co. Despite the positive developments, investors also have concerns that the current AI hype might fade if signs of a slowdown in investment in this area emerge.