Nvidia Corp. experienced a substantial increase in its market value, adding $442 billion on Thursday. This surge represents the second-largest one-day gain for any stock ever recorded. Shares of the Santa Clara, California-based company jumped 8.7%, which is their biggest advance since April 2025. This gain trails only Microsoft Corp.'s $450 billion surge that occurred less than a month prior. Nvidia is currently the largest company globally, with a valuation around $5.5 trillion.
The significant market movement followed a strong forecast from Nvidia, which reassured investors about the sustained growth of artificial intelligence. Nvidia projected that its revenue would increase by approximately 70% in the next fiscal year, significantly exceeding expectations of around 45% growth. This positive surprise was reminiscent of the early stages of the AI boom, solidifying Nvidia's position as a central stock of the era. The outlook, despite being much better than anticipated, is believed by JPMorgan to still be conservative, explicitly characterizing it as supply-constrained with unconstrained demand pacing materially higher.
Bloomberg Intelligence described Nvidia's guidance as "jaw-dropping," suggesting over $100 billion of potential upside to current estimates. The $442 billion market cap addition on Thursday is larger than the value of all but a handful of companies in the S&P 500 Index. This magnitude means that even relatively modest stock movements can result in market value changes worth tens of billions of dollars. Previously, Nvidia held the record for the largest one-day market cap gain, adding $440 billion in April of the previous year after President Donald Trump's announcement of a 90-day tariff pause. However, Nvidia also holds the record for the largest one-day loss in market history, when nearly $600 billion was wiped out due to concerns about China's DeepSeek AI model.
