Nvidia has officially crossed into uncharted financial territory, becoming the first company in history to achieve a $4 trillion market valuation. The chipmaker's shares rose 2.8% to $164.42 on Wednesday, July 9, pushing it past this unprecedented milestone.
This remarkable achievement comes amid Nvidia's meteoric rise in the AI era. Just two years ago, the company was valued at approximately $500 billion. Since then, it has experienced an extraordinary trajectory: surpassing $1 trillion in June 2023, doubling to $2 trillion by February 2024, exceeding $3 trillion in June 2025, and now breaking the $4 trillion barrier.
The company's financial performance reflects the extraordinary global demand for AI infrastructure. In the first quarter of fiscal 2026 (ended April 27, 2025), Nvidia reported revenue of $44.1 billion, representing a 69% increase from the same period last year. Its data center revenue reached $39.1 billion, up 74% year-over-year, demonstrating Nvidia's commanding position in AI computing hardware.
Nvidia's success stems from its dominant role in providing the graphics processing units (GPUs) that power large language models and other AI applications. The company reportedly commanded 92% of the data center GPU market last year, making it the essential supplier for tech giants like Microsoft, Amazon, and Google as they race to build massive AI data centers.
Despite this triumph, Nvidia faces significant challenges. In April 2025, the U.S. government imposed new export licensing requirements for Nvidia's H20 chips destined for China. CEO Jensen Huang stated during a May earnings call that "the $50 billion China market is effectively closed to U.S. industry," resulting in an $8 billion revenue loss for the current quarter.
Industry analysts remain bullish on Nvidia's prospects. Loop Capital analysts predict the company could reach a $6 trillion market valuation by 2028, citing Nvidia's "monopoly for critical tech" in the AI sector. With global spending on AI infrastructure expected to surpass $200 billion by 2028 according to IDC, Nvidia appears well-positioned to maintain its leadership in powering the next phase of the AI revolution.