Nvidia’s stock surge has propelled it to surpass Apple in market value, making it the most valuable publicly-traded company globally once again.

The chipmaker’s shares rose more than 1% on Tuesday, with a 4% increase in 2025 thus far, building on impressive gains of 171% in 2024 and 239% in 2023.

This growth reflects the surging demand for Nvidia’s artificial intelligence chips, which have been central to its rising valuation.

Apple’s stock dropped 4% on Tuesday, bringing its year-to-date decline to 12% after a 30% gain in 2024.

Despite developing AI features under its Apple Intelligence suite for iPhones and laptops, Apple’s exposure to the AI boom isn’t as significant as Nvidia’s.

Nvidia, on the other hand, dominates the graphics processing unit (GPU) market, which is critical for AI development, including powering software like ChatGPT.

While Nvidia’s revenue growth has slowed, it still nearly doubled to $35.08 billion in the most recent quarter, reflecting the continuing strength of its position in the AI space.

Apple was the first company to hit $1 trillion, $2 trillion, and $3 trillion market cap milestones, but Nvidia has now overtaken Apple twice, once in June and again in November.

On Tuesday, Nvidia’s market cap reached about $3.4 trillion, slightly ahead of Apple’s $3.3 trillion, with Microsoft close behind at $3.2 trillion.

Microsoft, a significant buyer of Nvidia’s GPUs, announced earlier this month that it expects to spend $80 billion on AI data centers in fiscal 2025, highlighting the ongoing demand for Nvidia’s AI-powered technology.