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Nvidia hits $1 trillion market cap


A man wearing a mask walks past a Nvidia logo in Taipei, Taiwan.Sopa Images | Lightrocket | Getty ImagesNvidia hit a $1 trillion market cap at the open Tuesday, joining a small club of mostly technology companies. Nvidia’s shares have to hold above $404.86 to maintain that distinction throughout the day.The stock rose nearly 6% in late morning trading, hitting a fresh 52-week high.The chipmaker’s shares rocketed last week after it posted quarterly earnings with top- and bottom-line numbers that significantly beat consensus estimates. Nvidia’s gain buoyed other chipmakers, with the notable exception of Intel, and was also fueled in part by estimates that were more optimistic than expected.Significantly, Nvidia forecast $11 billion in sales for the second quarter of fiscal 2024 alone. The expected sales were 50% higher than consensus estimates of $7.15 billion.It’s been a banner year for chipmakers, parts of the tech industry and the Nasdaq, driven in part by the artificial intelligence frenzy and the possibility of slowing Federal Reserve rate hikes. Alongside Nvidia, Alphabet, Meta and Microsoft were also buoyed in last week’s trading.Nvidia’s graphics processing units, or GPUs, are critical to generative AI platforms like OpenAI’s ChatGPT and Google’s Bard. The company has historically been a leader in the so-called discrete …

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