Chasing Apple and catching up with Microsoft, where is NVIDIA's limit? 

On June 5th local time, NVIDIA closed up 5.16%, hitting a new all-time high for three consecutive trading days, with a total market capitalization of $3.01 trillion, surpassing Apple and becoming the second largest company after Microsoft ($3.15 trillion). 

Since then, NVIDIA has become the third company in history to break through the $3 trillion market capitalization mark. It is worth mentioning that Wall Street was still arguing whether NVIDIA was "worth $2 trillion" not long ago. 

The company also set a new record - its market capitalization first broke $1 trillion on May 30, 2023, then $2 trillion on February 30, 2024, and now $3 trillion today, achieving a "triple jump" in just one year. It took Microsoft 6 years and Apple nearly 4 years to achieve the same goal. 

Thanks to the popularization of AI, NVIDIA has experienced rapid growth. AI companies including Amazon, Google, Microsoft, OpenAI, Oracle, and Tesla are all NVIDIA's customers. 

NVIDIA's recent financial report showed that its first-quarter revenue as of April 28, 2024, was $26 billion, an increase of 18% over the previous quarter and 262% over the same period last year. Quarterly GAAP diluted earnings per share were $5.98, an increase of 21% over the previous quarter and 629% over the same period last year. 

NVIDIA's share price has risen 327% over the past five years, and a recent HSBC report raised its target price to $1,350 (previously $1,050). Behind NVIDIA's soaring share price and market capitalization is its dominant position in the AI chip field, especially in the AI chip training field, where NVIDIA holds about 90% of the market share.