Nvidia outperforms AI Giant economies Germany, Russia and Canada
Driven by the boom in artificial intelligence (AI), US company Nvidia has grown significantly over the past year, so that its market value now exceeds the entire German stock market and even the gross domestic product of Russia or Canada. Only seven global economies and companies like Microsoft and Apple are ahead of it.
When it released its first-quarter financial results, the market expected that if Nvidia failed to meet expectations, it could cause its stock to crash, affecting the entire market. On the contrary, Nvidia has exceeded expectations, as evidenced by the sustained interest in AI and its advanced graphics processors. Nvidia’s current market capitalisation is $2.553 trillion (£58.3 trillion), making it the world’s third largest company after Microsoft ($3.173 trillion) and Apple ($2.865 trillion). By comparison, its market capitalisation is nine times higher than that of AMD, its main chip competitor. Tesla’s market value is four times lower and so is that of Danish pharmaceutical firm Novo Nordisk. European companies can’t compare with Nvidia because even all the companies on the German stock exchange combined are below its market capitalisation, according to data from Statista in March 2024.
Nvidia is larger in market value than most of the world’s economies except the seven largest. It has even surpassed Russia with a GDP of $2.24 trillion (51.1 trillion CZK) and Canada with a GDP of $2.16 trillion in 2022. Although these are different economic indicators, GDP represents the total value of goods and services produced in a country, while market capitalization reflects the value of a single company on the stock market. A direct comparison is not exact, but it shows how big Nvidia is.
Nvidia’s market capitalization is exceeded only by the GDP of the US ($25.44 trillion), China ($17.96 trillion), Japan ($4.26 trillion), Germany ($4.09 trillion), India ($3.41 trillion), the UK ($3.08 trillion) and France ($2.78 trillion). By comparison, the Czech Republic’s GDP is $290.57 billion (CZK 6.6 trillion), which means that Nvidia’s market capitalization is almost nine times larger than the entire Czech economy.
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