Chip designer39;s stock hits alltime high
Rally lifts stock markets from Japan to Europe

Reuters Nvidia Corp surged 24 on Thursday in one of the largest oneday gains in value for a U.S. stock, after its stellar revenue forecast showed that Wall Street has yet to price in the gamechanging potential of AI.

The surge more than doubled the stock39;s value for this year and increased the chip designer39;s market capitalization by about 184 billion to nearly 939 billion.

That makes Nvidia twice as big as the secondlargest chip firm, Taiwan39;s TSMC. In the United States, it trails only trilliondollarvalue companies Apple Inc, Alphabet Inc, Microsoft Corp and Amazon.com Inc.

The rosy earnings also sparked a rally in the chip sector and for AIfocused firms, lifting stock markets from Japan to Europe. In the U.S., Big Tech companies other than Amazon closed between 0.6 and 3.8 higher, while Advanced Micro Devices Inc settled 11 higher.

Analysts rushed to raise their price targets on Nvidia stock, with 27 lifting their view on the idea that all roads in AI lead to the company as it dominates the market for chips used to power ChatGPT and many similar services.

The mean price target has more than doubled this year. At the highest view, a 644.80 price target from Elazar Advisors, Nvidia will have a value of 1.59 trillion, around that of Alphabet.

In the 15 years we have been doing this job, we have never seen a guide like the one Nvidia just put up with the secondquarter…