Microsoft overtakes Nvidia as world's second-most-valuable company as probe-driven slide deepens
What happened
Microsoft (MSFT) closed Tuesday, November 10 ahead of Nvidia (NVDA) in market capitalization, becoming the world's second-most-valuable publicly traded company behind Apple. Microsoft finished at $533.16 per share for a market value of $3.96 trillion, slightly ahead of Nvidia, whose market cap sank below $4 trillion. Nvidia has plunged 25% in the past month, including a 17% decline over the last week, after reports that CEO Jensen Huang was the target of a Chinese espionage effort. The slide has pushed Nvidia's valuation to a 15-year low: the stock trades at just 11.77 times expected earnings over the next 12 months, its lowest multiple since 2011, according to FactSet. Nvidia rebounded nearly 4% in premarket trading on Wednesday, November 11, looking to recover part of the past two sessions' losses.
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Start your free 14-day trialWho’s affected
- Nvidia (NVDA) — directly hit; the probe-driven selloff has erased its market-cap lead and compressed its valuation to a 15-year low. Microsoft (MSFT) — beneficiary by relative standing, now the world's No. 2 company, though its own shares fell 2.7% on Tuesday and 2.2% in the prior session amid the Anthropic workplace-tools pressure. Apple (AAPL) — retains the No. 1 spot at $5.06 trillion. Broader AI/semiconductor complex (AI server makers, chip stocks) — the slide reflects doubts about AI buildout sustainability that have weighed on the whole group.