- Nvidia added an entire Netflix to its market valuation on Thursday after it reported strong earnings.
- The company's stock surged as much as 16% to a record valuation of nearly $2 trillion.
- At its peak on Thursday, Nvidia saw a $267 billion gain in market value, handily exceeding Netflix's peak daily market cap of $254 billion.
Nvidia added an entire Netflix to its market valuation on Thursday after it reported blow-out fourth-quarter earnings results.
The stock surged as much as 16% to hit a record high of $781.54. That gain added $267 billion to its market cap in a single day. Meanwhile, Netflix's overall market valuation on Thursday topped out at $254 billion.
Nvidia's surge on Thursday also represents a the biggest single-day gain of value in stock market history, eclipsing Meta Platform's previous one-day record increase of $197 billion from earlier this month, according to data from Bloomberg.
The semiconductor company has seen business boom thank to its AI-enabled GPU chips, which can sell for as much as $40,000. The immense demand for Nvidia's chips from cloud hyperscalers like Microsoft, Amazon, and Meta has led to a supply-and-demand imbalance that Nvidia doesn't see balancing out in the near-term.
"Accelerated computing and generative AI have hit the tipping point," Nvidia CEO Jensen Huang said. "Demand is surging worldwide across companies, industries and nations."
Nvidia also offered encouraging guidance for the future growth trajectory of its business, and said that it plans to unveil new GPU products at its GTC conference in March.
The solid earnings results led to a flurry of Wall Street price target increases, with Rosenblatt Securities giving the highest price target of $1,400. If that price target is realized, it would make Nvidia the largest company in the world with a $3.5 trillion valuation.
Nvidia's current market valuation is $1.95 trillion.