Nvidia (NVDA) shares surged more than 2.6% in early trading Wednesday, setting a new intraday high of $152.97 and surpassing the chipmaker’s previous record close of $149.43 from January. The rally adds to a remarkable 2025 turnaround, driven by strong investor confidence in the company’s growing dominance in artificial intelligence.
One key catalyst behind today’s gains is anticipation surrounding Micron Technology’s (MU) quarterly earnings, due after the market close. Micron manufactures high-bandwidth memory (HBM) chips, essential components in Nvidia’s advanced AI accelerators. A strong earnings report and upbeat outlook from Micron could signal sustained demand across the AI hardware supply chain, further reinforcing the bullish sentiment surrounding Nvidia.
Beyond its hardware, Nvidia’s expanding software and cloud services are also fueling growth. The company’s DGX Cloud platform, which allows businesses to run large-scale AI workloads on Nvidia’s cloud infrastructure, is gaining traction across industries including healthcare, finance, and manufacturing. The cloud service marks a strategic pivot that’s transforming Nvidia into a full-stack AI provider, not just a chipmaker.
Investor enthusiasm has remained high since Nvidia’s first-quarter earnings report in late May, which beat Wall Street expectations and highlighted robust revenue growth. The company has continued to outperform despite geopolitical headwinds, including a U.S. export ban affecting sales of its chips to China, once a key market. All eyes now turn to Micron’s earnings later today for further clues on the strength of the AI boom.
Earlier this month, Nvidia once again claimed the top spot as the world’s most valuable publicly traded company, overtaking Microsoft in market capitalisation. The milestone highlights Nvidia’s meteoric rise as the dominant force in AI hardware. Nvidia has been in close competition with Microsoft and Apple for the market cap crown since mid-2023. It last held the title on January 24, before reclaiming it with this latest surge. As demand for AI infrastructure continues to grow, Nvidia’s leadership in the space appears to be solidifying, cementing its role not just as a chipmaker, but as a foundational player in the AI-driven future of technology.