Last Wednesday, Nvidia released its first-quarter financial report. The net profit for the single quarter was 2.043 billion US dollars far exceeding expectations, a year-on-year increase of 26%, and a quarter-on-quarter increase of 44%, which can be called “epic” in the current environment. The stock price soared 28% after the market, with a single-day surge of more than 200 billion US dollars, which is equivalent to an increase of one AMD, two Intels, and three Microns.
After the close of the previous trading day, Nvidia’s stock price rose by about 2.56%, and its market value was close to one trillion US dollars. U.S. stocks opened today, and Nvidia once rose by more than 4% to $405.96, with a total market value of more than one trillion U.S. dollars, and became the first chip company with a market value of more than one trillion U.S. dollars!
This also means that Nvidia has become the seventh company in the United States to unlock trillion-dollar achievements after Meta, Amazon, Microsoft, Alphabet, Apple and Tesla in more than 20 years. At present, Nvidia’s US stock market value is second only to Apple, Google’s parent company Alphabet, Microsoft and Amazon.
It is worth mentioning that, except for the oil giant Saudi Aramco, all the companies that have reached a trillion-dollar market value are all American technology giants.
It is worth mentioning that it is not common for Cathy Wood, the founder of ARK Investment Management Company and “Sister Wood”, to label the stock market darling of the innovative economy as “too expensive”, but the sharp rise in Nvidia’s stock price has attracted Wood’s attention. question. The world’s most valuable chipmaker is “pricing ahead,” Wood said on Twitter on Monday.
According to the data, Nvidia’s expected price-to-sales ratio is as high as 25 times. In contrast, the expected price-to-sales ratio of the Philadelphia Semiconductor Index constituent companies is only about 6 times, and the expected price-to-sales ratio of Microsoft, which provides support for OpenAI, is about 12 times.
