Nvidia's Market Cap Surges Past $5 Trillion Amid AI Boom
Nvidia's market capitalization has grown from $557 billion to over $5 trillion in just five years, a growth rate of 817.8%. The company is already generating tens of billions of dollars in quarterly revenue and its AI chips are at the heart of the industry's infrastructure buildout.
In its recent fiscal second-quarter earnings report, Nvidia announced a 106% year-over-year increase in total revenue to $96.2 billion, with adjusted earnings increasing 120% to $2.22 per share.
The data center business continues to dominate Nvidia's revenue, with Blackwell playing a significant role. Management claimed that the five largest hyperscalers' capital expenditures are fueling growth of the data center segment, which stood at $89 billion in the quarter, up 18% sequentially and 117% year-over-year.
Nvidia is deepening its partnership with Amazon's AWS, with plans to deploy an additional 2 million Nvidia GPUs alongside Vera CPUs. The partnership goes beyond hardware, with AWS offering Nvidia's Nemotron models through its cloud services and employing Nvidia's broader physical AI technology for warehouse robotics.