Nvidia wins race to become first $4trn listed company

Nvidia has become the first stock market-listed company to achieve a value of $4trn.

Its share price rose by more than 2% at the market open on Wall Street to reach the milestone moment. It was achieved just over a year since Nvidia overcame the $3trn barrier and overtook Apple, in market cap terms, in the process.

The AI-focused chipmaker has been the darling of Wall Street for many years. Money latest: HMRC issues 600,000 fines to people who owe no tax The value of its shares has risen by 409,825% since its market debut in 1999.

Its status has been cemented thanks to the rush for AI technology - suffering several wobbles along the way - but nothing significant when you refer to the percentage rise of the past 26 years. The most recent pressures have come from the emergence of the low-cost chatbot DeepSeek and concerns for global AI demand as a result of Donald Trump's trade war hitting growth.

Financial markets have been taking a more risk-on approach to the trade war since the delays to "liberation day" tariffs in April. It's explained by a market trend that's become known as the TACO trade: Trump always chickens out.

It has helped US stock markets post new record highs in recent days. The wave of optimism is down to the fact that the president is yet to follow through with the worst of his threatened tariffs on trading partners.

Corporations are also yet to report big hits to their earnings - a fact that is also propping up demand for shares. If Mr Trump does go all-out in his trade war, as he has now threatened from 1 August, then that $4trn market value for Nvidia - and wider stock markets - could be short-lived, at least in the short term.

But market analysts believe Nvidia's value has further to go. Read more from Sky News:Greater risk to UK economy from Trump tariffs, BoE warnsWhat is a wealth tax and how would it work? Matt Britzman, senior equity analyst at Hargreaves Lansdown, said of its meteoric rise: "Once known for powering video games, NVIDIA has transformed into a foundational player in AI infrastructure.

"Its high-performance chips now drive everything from natural language processing to robotics, making them essential to training and deploying advanced AI models. "Beyond hardware, its full-stack ecosystem - including software platforms and developer tools - helps companies scale AI quickly and efficiently.

This end-to-end approach has positioned Nvidia as a cornerstone in a market where speed, scalability, and efficiency are critical." He added: "The key question is where it goes from here, and while it might seem strange for a company that's just passed the $4trn mark, Nvidia still looks attractive. "Growth is expected to slow, and it's likely to lose some market share as competition and custom solutions ramp up.

But trading at a relatively modest 32 times expected earnings, and over 50% top-line growth forecast this year, there's still an attractive opportunity ahead. "For investors, it remains a compelling way to gain exposure to the AI boom - not just as a participant, but as one of its architects.".