Nvidia (NVDA) stock retreated in early trading on Thursday, sending the company’s valuation below the $3 trillion mark a day after the company achieved the feat.
Nvidia’s stock price opened at $1,240.09 per share, before dipping $1,184 shortly after the start of the trading day.
Shares of the chip giant closed at $1,240.91 on Wednesday, pushing the chip giant past Apple and making it the second-most-valuable company on the US stock market before the early retreat Thursday. Microsoft currently holds the top spot.
The Wednesday rally came amid a broader gain in tech stocks, with softer US economic data and a decline in Treasury yields boosting markets on hopes the Federal Reserve may cut rates as early as July.
Nvidia has been the poster child for investor enthusiasm in AI, which accelerated with OpenAI’s release of ChatGPT in late 2022.
The stock is up over 140% this year and 200% over the last year; Nvidia shares have gained more than 3,300% in the last five years.
Over those same periods, the Nasdaq has gained a more modest 14%, 29%, and 126%, respectively.
Nvidia shares were steady in pre-market trading on Thursday, up less than 1%.
This week’s rally in Nvidia follows an announcement on Sunday from its CEO, Jensen Huang, who said at an industry conference the company will release a high-powered version of its Blackwell chip — called the Blackwell Ultra — in 2025, followed by a new AI chip platform, Rubin, in 2026. The company will debut an Ultra version of Rubin in 2027.
Nvidia is the tech industry’s go-to supplier for AI chips and integrated software.
Tech behemoths, including Amazon (AMZN), Google (GOOG), Meta (META), Microsoft, Tesla (TSLA), and others, use its hardware to power everything from their cloud-based AI offerings for customers to their own AI models and services.
