Nvidia’s blowout earnings have set the Silicon Valley company on course to become the first chipmaker to be valued at more than $1tn, as booming demand for its artificial intelligence processors drove semiconductor stocks higher on Thursday.
Shares in Nvidia were up 25 per cent in pre-market trading after its $11bn sales forecast for the three months ending in July came in more than 50 per cent ahead of Wall Street’s previous estimates.
If the move continues into regular trading hours, Nvidia could add almost $200bn to its market capitalisation, more than the entire value of Intel, AMD or Qualcomm and the biggest one-day gain ever for a US stock, according to figures from Bloomberg. The rise would put it within $50bn of joining Apple, Microsoft, Alphabet and Amazon in the elite group of companies valued at more than $1tn.