The move came after Nvidia shares dropped 5%, taking its market capitalization down to $4.77 trillion. On the flip side, shares of Apple, the iPhone manufacturer, gained over 1% on Monday, to take its market capitalization to $4.95 trillion.
Nvidia had remained the most valuable company of the world since June 2025 when it had dethroned Microsoft from the top. The Jensen Huang-led chipmaker also crossed $5 trillion in market capitalization briefly in October last year.
Shares of Nvidia fell on Monday amidst concerns of the circular nature of their deals. It announced another $500 billion program with the SK Group and is also in discussions to provide a $250 billion guarantee to OpenAI. Skeptics have repeatedly warned about the circular nature of these AI deals, which, according to them, is artificially inflating demand and valuations of these companies.
Apple has emerged as an unlikely winner amidst a violent sell-off in chip stocks over the last month-and-a-half. The Cupertino based product manufacturer is up 24% so far in 2025, comfortably outperforming Nvidia’s 4% gain.
Investors have rewarded Apple for its reluctance to spend the big billions, unlike its big tech peers and its preference to rent AI capacity instead of building its own. Shares of its peer Alphabet had sold off last week after its results, where it once again raised its full-year capex guidance to $195 billion to $205 billion.
Shares of Apple have been on the move ahead of their much anticipated results on Thursday, where the company could disclose the financial impact of the memory chip shortage globally, which had forced them to raise prices of the iMac and the iPad last month.
Apple’s results will be reported after market closing hours on Thursday, local time.
