Nvidia Overtakes Apple As World’s Second-Most Valuable Company 2024

Nvidia Overtakes Apple

Nvidia Overtakes Apple in 2024 as World’s Second-Most Valuable Company

Nvidia officially passed Apple as the world’s second-most valuable company at the close of Wednesday’s market. The artificial intelligence boom in the last year helped the chipmaker claim the second spot. It now sits behind only Microsoft.

The company’s market cap climbed over the $3 trillion mark for the first time, which put it over the iPhone manufacturer. At Wednesday’s stock market close, Nvidia stood at $3.019 trillion while Apple was at $2.99 trillion. Microsoft stood above both at $3.15 trillion.

Nvidia is the current belle of the corporate ball. They brought in $14.9 billion net income last quarter on a revenue of $26 billion. Since their first quarter earnings report in May, their stock shot up a staggering 24%.

Compare this to 2022, when Nvidia’s net income sat at $0.7 billion in the last quarter. Since their renewed and intense focus into chips to help train AI models, the company’s shares have experienced a meteoric rise – 3,290% over the last five years.

“As we look ahead, we think Nvidia is on pace to become the most valuable company, given the plethora of ways it can monetize AI and our belief that it has the largest addressable market expansion opportunity across the tech sector,” CFRA analyst Angelo Zino said. (Nvidia Overtakes Apple 2024)

This marks the second time Apple was passed in 2024. Microsoft also surpassed them earlier this year – partially in thanks to their focus on AI – and still sits at the top with the title “world’s most valuable company.”

The post Nvidia Overtakes Apple as World’s Second-Most Valuable Company appeared first on TheWrap.

Nvidia Overtakes Apple 2024

Fundamentals


	NVDA	AAPL
Market Cap	$2.86T	$2.95T
EPS	$17.12	$6.42
PE Ratio	68.01	29.95
PEG Ratio	1.19	2.26
Revenue (TTM)	$79.77B	$381.62B
Gross Profit (TTM)	$15.36B	$170.78B
EBITDA (TTM)	$49.27B	$129.63B

NVDA vs. AAPL – Performance Comparison

In the year-to-date period, NVDA achieves a 147.25% return, which is significantly higher than AAPL’s 2.00% return. Over the past 10 years, NVDA has outperformed AAPL with an annualized return of 74.44%, while AAPL has yielded a comparatively lower 25.43% annualized return. The chart below displays the growth of a $10,000 investment in both assets, with all prices adjusted for splits and dividends.

NVDA vs. AAPL – Sharpe Ratio Comparison

The current NVDA Sharpe Ratio is 4.79, which is higher than the AAPL Sharpe Ratio of 0.48. The chart below compares the 12-month rolling Sharpe Ratio of NVDA and AAPL.

NVDA vs. AAPL – Drawdown Comparison

The maximum NVDA drawdown since its inception was -89.72%, which is greater than AAPL’s maximum drawdown of -81.80%. Use the drawdown chart below to compare losses from any high point for NVDA and AAPL. For additional features, visit the drawdowns tool.

NVDA vs. AAPL – Financials Comparison

This section allows you to compare key financial metrics between NVIDIA Corporation and Apple Inc.. You can select fields from income statements, balance sheets, and cash flow statements to easily visualize and compare the financial health of both companies.

Key characteristics

	NVDA	AAPL
YTD Return	147.25%	2.00%
1Y Return	216.78%	9.88%
3Y Return (Ann)	91.16%	16.56%
5Y Return (Ann)	102.40%	33.77%
10Y Return (Ann)	74.44%	25.43%
Sharpe Ratio	4.79	0.48
Daily Std Dev	44.38%	20.21%
Max Drawdown	-89.72%	-81.80%
Current Drawdown	0.00%	-0.87%

KEY POINTS (Nvidia Overtakes Apple 2024)

Nvidia is one of Wall Street’s hottest stocks, and it has the growth to back it up.
Apple’s business is facing adversity, which is weighing on the stock.
Choosing which to invest in depends on their future outlooks.
10 stocks we like better than Apple

These two stocks have gotten off to dramatically different starts in 2024.

The “Magnificent Seven” stocks are a group of megacap technology companies that have thrived over the past few years and led this new bull market, but it’s not been a smooth ride for every member of that group.

Two key members, iPhone maker Apple (AAPL -0.71%) and artificial intelligence (AI) chip company Nvidia (NVDA -1.18%), are moving in opposite directions so far in 2024. Apple’s stock price has fallen 10% since January, while Nvidia’s has risen over 80%.