Finance

Can Nvidia Hit $10 Trillion? How the AI Chip Titan Aims to Sustain Its Meteoric Rise

Nvidia, the AI chipmaker, became the world’s most valuable company with a $4.9 trillion market cap, exceeding $4T.

byAndres Castro

October 29, 2025, 10:48 PM

Nvidia logo and sign on headquarters building - Santa Clara, California, USA - 2021. By Shutterstock.com / Michael Vi.

Executive Summary

Nvidia achieved a market capitalization of $4.9 trillion as of October 29, 2025, becoming the highest-valued stock globally and the first company to surpass a $4 trillion valuation.

Nvidia dominates the AI chip market with an estimated 70% to 95% share, reinforcing its position through vertically integrated hardware and software solutions like CUDA and the DGX Spark supercomputer.

The company is preparing for future growth with new AI architectures like Vera Rubin in 2026, with investors discussing its potential to reach a $10 trillion valuation by 2030, which requires sustained high growth rates.

The Story So Far

Nvidia has become the world’s most valuable company due to its near-monopoly, controlling 70-95% of the crucial AI chip market, which is experiencing explosive growth as the foundational infrastructure for artificial intelligence. The company’s strategic vertical integration of hardware and software solutions, coupled with continuous innovation in new AI architectures, solidifies its dominance and fuels its significant financial performance, driving its valuation upwards.

Why This Matters

Nvidia’s unprecedented $4.9 trillion valuation underscores its dominant and indispensable role in building global AI infrastructure, largely powering advanced generative AI applications and reflecting the immense opportunities within the sector. While its continued innovation aims to solidify this market edge, reaching a projected $10 trillion valuation by 2030 will hinge on sustaining exceptional sales growth and navigating evolving market dynamics, including potential shifts in its price-to-sales ratio.

Who Thinks What?

Nvidia is recognized as the leading AI chipmaker, holding a dominant market share and demonstrating strong financial performance through continuous innovation in hardware and integrated software solutions.

The author of the article believes Nvidia’s target of reaching a $10 trillion market capitalization by 2030 is achievable, despite acknowledging inherent stock market uncertainties.

Achieving a $10 trillion valuation by 2030 requires Nvidia to sustain a high compound annual growth rate in sales, potentially between 15% and 27%, depending on whether its price-to-sales ratio moderates or remains high.

Nvidia, the leading artificial intelligence (AI) chipmaker, has achieved a market capitalization of $4.9 trillion as of October 29, 2025, making it the highest-valued stock globally and the first company to surpass a $4 trillion valuation. This milestone underscores the company’s central role in building the infrastructure for the future of AI, even as questions arise regarding its continued growth trajectory and potential to reach a $10 trillion valuation by 2030.

Nvidia’s Dominance in AI Infrastructure

Nvidia has become synonymous with artificial intelligence, with its graphics processing units (GPUs) powering the most advanced generative AI applications. Analysts estimate the company controls between 70% and 95% of the AI chip market, solidifying its position despite increasing competition.

The company is further sharpening its market edge by rolling out vertically integrated hardware and software solutions. These offerings, such as Nvidia’s CUDA software designed for seamless developer interaction with its GPUs and data centers, aim to simplify and accelerate client operations. Notably, Nvidia recently shipped the DGX Spark, described as the world’s smallest supercomputer, to Tesla.

Strong Financial Performance and Growth

Nvidia’s stock has delivered significant returns for investors, increasing nearly 1,500% over the past five years, equating to an approximate 74% annual growth rate. This performance reflects the market’s recognition of the immense opportunities within the AI sector.

In its fiscal third quarter of 2025, which concluded on July 27, Nvidia reported a 56% year-over-year increase in sales. This growth was largely propelled by a 73% surge in data center sales. The company anticipates potentially even stronger fourth-quarter results, as sales in China, which were previously on hold due to government regulations, are expected to resume.

Future Architecture and Valuation Outlook

While Nvidia is still in the process of rolling out its latest Blackwell architecture, which has already contributed to a 17% quarter-over-quarter sales increase in Q3, it is also preparing for the next generation. The company plans to launch its Vera Rubin line of AI architecture in 2026, designed to handle even greater data loads.

Looking ahead, the prospect of Nvidia reaching a $10 trillion market capitalization by 2030 is a subject of investor discussion. Achieving this would require the stock to increase by 104% from its current valuation. Based on its current price-to-sales (P/S) ratio of 30, this would necessitate an increase in total trailing 12-month sales to $333 billion from the current $165.2 billion, implying a compound annual growth rate (CAGR) of at least 15% over the next five years. However, a potential decline in the P/S ratio as growth moderates could mean that sales would need to reach $538 billion, requiring a CAGR of 27% based on its 10-year average P/S ratio of 18.6.

Conclusion

Nvidia’s journey to becoming the world’s most valuable company highlights its pivotal role in the AI revolution. While the company continues to innovate with new architectures and integrated solutions, its path to a $10 trillion valuation by 2030 hinges on sustained high growth rates and market dynamics. The author of the article believes this target is achievable, though acknowledging the inherent uncertainties of the stock market.