Quick Summary:
-
Nvidia stock rose 4.3% to $154.31, hitting an all-time high
-
💰 Market cap increased to $3.77 trillion, overtaking Microsoft
-
🤖 Growth driven by rising AI infrastructure investments
-
📊 Stock remains reasonably valued despite massive gains
Nvidia shares reached an all-time high on June 25, rising 4.3% to $154.31. The stock has climbed 63% since April, adding an impressive $1.5 trillion to its market value.
Surpassing Microsoft in Market Capitalisation
With a total market value of approximately $3.77 trillion, Nvidia has officially overtaken Microsoft, claiming the title of the world’s most valuable publicly listed company.
AI Demand Fuels Investor Confidence
Strong quarterly earnings and increased investment in artificial intelligence infrastructure by tech giants such as Microsoft, Meta, Alphabet, and Amazon have strengthened investor sentiment.
Nvidia CEO Jensen Huang reassured shareholders that demand remains strong, adding that the computer industry is still in the early stages of a major AI upgrade cycle.
Stock Growth Remains Strong, Yet Reasonably Priced
Nvidia has already gained 15% in 2025, following a 170% rise in 2024 and a 240% surge in 2023. Despite this growth, the stock is considered reasonably valued, trading at 31.5 times forward earnings — below its 10-year average and close to the Nasdaq 100 multiple. Analysts also note that Nvidia’s projected growth rate remains significantly higher than the index average.
Analysts Remain Bullish
Market sentiment remains overwhelmingly positive. Nearly 90% of analysts tracked by Bloomberg recommend buying Nvidia shares, which currently trade below their average price target.
Room for Institutional Growth
Despite its soaring valuation, Nvidia is still less widely held by institutional investors compared to Microsoft and Apple. This suggests additional room for buying as AI momentum is expected to continue into 2026.