Nvidia Just Passed Microsoft as the Most Valuable Company in the World. Is it Too Late to Invest?
Nvidia's (NASDAQ: NVDA) recent stock split lowered the price of each individual share after the high-flying stock reached beyond $1,000 and ever since that split a little more than a week ago, the shares have advanced about 12%. This momentum has helped the chip designer reach an enormous milestone. Nvidia just passed Microsoft to become the world's most valuable company with a market value topping $3.33 trillion as of market close on Tuesday -- that's compared to the rival software giant's $3.31 trillion market capitalization.
There's been a good reason for Nvidia's standout performance in recent times: its dominance in the billion-dollar artificial intelligence (AI) chip market. The company holds an 80% share and this has helped earnings -- and clearly share price -- to soar. After the enormous gain, and as Nvidia steps ahead of Microsoft, the question now is: Is it too late to invest in this AI chip giant? Let's find out.
Image source: Getty Images.
Source Fool.com
Microsoft Corp. Stock
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With a target price of 420 € there is a slightly positive potential of 7.2% for Microsoft Corp. compared to the current price of 391.8 €.
