The race to end the year with the title of largest company on the planet is, a few weeks before the end of 2024, more competitive than ever. Apple tracks Nvidia in terms of market capitalization, and in recent sessions it has managed to stand above what was until now the largest listed company on the planet on certain specific days.
The two companies are worth more than $3 billion and, along with Microsoft, are positioned nearly $1 billion behind their most immediate competitors, Alphabet, Amazon and the Saudi oil company. Aramcowhich remain behind the two big giants of the world market.
However, analysts do not believe that this equality will be maintained in the coming months. In fact, thinking about the next twelve months, at Nvidia a stock market growth potential five times greater than that of Apple. While the Cupertino company estimates having a trajectory that barely exceeds 5% for almost all of 2025, for the chip manufacturer an increase of around 25% is expected.
If experts’ predictions come true, Nvidia would end up capitalizing more than $4 billion. A figure which, for some analysts, is insufficient. Indeed, Rosenblatt Securities Inc, Mirae Asset Securities and Fubon Securities value the company’s shares at more than $200, which would mean that Nvidia would be capitalized at almost $5 billion (4.8).
The earnings season played a crucial role in this process. The company chaired by Jen-Hsun Huang was able to answer questions and doubts about supply and its dependence on large technology companies that were raised in the market after the publication of its quarterly accounts.
“It would be foolish to bet against Jensen Huang and his team in the midst of this AI revolution.”
At eToro, Josh Gilbert, market analyst for the platform highlights the “astonishing pace of growth that the company has experienced in recent years” and explains that “it would be absurd to bet against Jensen Huang and his team in the midst of this revolution of AI.”
But not all voices point in the same direction. Matthew Benkendorf, CIO of Quality Growth (Vontobel boutique), expresses the most critical current of opinion towards the company. “The AI-focused chipmaker has been the main driver of the S&P 500’s performance this year. However, we believe it is difficult to establish predictability for future revenue due to uncertainty over sustainability of its technology,” he emphasizes. “Nvidia’s growth has been extraordinary, but it has also been extraordinarily volatile.l, so in our opinion, other companies offer exposure to growth potential with less risk.
“Nvidia’s growth has been extraordinary, but it has also been extraordinarily volatile”
From Fidelity, for their part, they emphasize Apple as one of the companies most affected by the tariff policies of the new US president-elect, Donald Trump. And the fact is that, in the Cupertino company, it is remarkable”“the importance that its production facilities in China continue to have, although it is possible that they could negotiate exemptions depending on the development of new supply chains”, underlines the American company.
