Nvidia Stock Surges, Poised to Exceed $5 Trillion Market Value
Shares of Nvidia jumped more than 3% in premarket trading today, October 29, 2025, placing the technology giant on the verge of becoming the first company to surpass a $5 trillion market capitalization.
The surge follows recent announcements from Nvidia CEO Jensen Huang, who stated the company anticipates $500 billion in orders for its artificial intelligence chips and unveiled plans to construct seven new supercomputers for the U.S. government. Yesterday, Nvidia also announced a $1 billion investment in Nokia, establishing a strategic alliance to pioneer next-generation 6G cellular technology. This move underscores the growing convergence of AI and telecommunications infrastructure.
The rally in Nvidia’s stock price, which closed up 5% in the previous session and has risen nearly 50% year-to-date, is contributing to broader gains in U.S. equities fueled by the AI sector. Apple and Microsoft have also recently achieved market valuations exceeding $4 trillion. However, concerns remain regarding a potential market bubble, as highlighted by warnings from institutions like the International Monetary Fund and the Bank of England.
Despite these cautions, Ark Invest CEO Cathie Wood expressed optimism, stating, “If our expectations for AI … are correct, we are at the very beginning of a technology revolution,” during an event in Riyadh. The company’s success is a key indicator of the overall health of the AI industry, and its continued growth will likely shape investment strategies for the foreseeable future – see our recent coverage on AI investment trends.
Officials indicated they will continue to monitor market conditions and assess the long-term sustainability of the current AI-driven rally.
Nvidia CEO Jensen Huang gestures as U.S. President Donald Trump (not pictured) delivers remarks during the “Winning the AI Race” Summit in Washington D.C., U.S., July 23, 2025.
Kent Nishimura | Reuters
Shares of Nvidia rose more than 3% in premarket on Wednesday, putting the tech giant on track to become the first company to cross the $5 trillion market value threshold.
The extraordinary milestone would reflect a remarkable rise for the company, which has evolved from a niche video game processor to an integral player in the artificial intelligence boom.
Shares of Nvidia were last seen up 3.1% in premarket. The stock price, which closed up 5% in the previous session, has climbed nearly 50% year-to-date.
The latest move higher comes shortly after CEO Jensen Huang said Nvidia expects $500 billion in AI chip orders and announced plans to build seven new supercomputers for the U.S. government.
Separately, Nvidia announced on Tuesday that it is taking a $1 billion stake in Nokia, forming a strategic partnership with the networking company to develop next-generation 6G cellular technology.
U.S. stocks, fueled by the AI trade, climbed to record highs on Tuesday. The major averages were boosted by gains in tech, with Apple and Microsoft both reaching a market value of more than $4 trillion after their shares rose.
The dizzying rally for U.S. stocks comes despite lingering concerns over a bubble, particularly as AI-driven spending has led to record deals and valuations.
Earlier in the month, the International Monetary Fund and Bank of England became the latest financial institutions to warn that global stock markets could be in trouble if investor appetite for AI turns sour.
Ark Invest CEO Cathie Wood on Tuesday flagged the near-term possibility of a “reality check” on AI valuations — but pushed back on fears of an AI bubble.
“If our expectations for AI … are correct, we are at the very beginning of a technology revolution,” Wood told CNBC on the sidelines of Saudi Arabia’s Future Investment Initiative (FII) in Riyadh.
