United

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Update June 10, 1:15 pm UTC: This article has been updated to include quotes from&nbsp;Gurps Rai and&nbsp;Ilan Rakhmanov.
United States chipmaker Nvidia has outperformed Apple stock price by over 25-fold since the beginning of 2024, as its much-anticipated 10-to-1 stock split is about to start trading.
Nvidia shares rose over 150% since the beginning of 2024, while Apple shares only rose 6% year-to-date (YTD), <a href="https://www.tradingview.com/chart/3Z94myyP/?symbol=NASDAQ%3ANVDA" target="_blank" rel="noopener nofollow">according</a> to Nasdaq data.
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-06/5184aa56-a64a-4450-862f-32f18734dc45.png" alt="" title="">
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 Nvidia and Apple price, YTD chart. Source: TradingView
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</figure>
Nvidia has also been outperforming Apple shares in the short term. On the monthly chart, Nvidia’s price rose 34%, while Apple stock only rose slightly over 7%.
Nvidia is the world’s largest chip manufacturer. The rise of its valuation is driven by the increasing demand for semiconductor chips, mainly due to&nbsp;<a href="https://cointelegraph.com/news/a-brief-history-of-artificial-intelligence">artificial intelligence (AI)</a> algorithms.
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<h2 data-ct-non-breakable="true" id="nvidia-is-down-0-25-in-pre-market-trading-ahead-of-the-10-to-1-stock-split">Nvidia is down 0.25% in pre-market trading ahead of the 10-to-1 stock split</h2>
Nvidia shares took a plunge in pre-market trading on Monday ahead of the stock split, which will start trading on June 10.
Nvidia was trading at $120.89 as of 11:40 am UTC, down 0.25% in pre-market trading. However, Nvidia shares rose over 10% during the past five days, <a href="https://finance.yahoo.com/quote/NVDA/" target="_blank" rel="noopener nofollow">according</a> to Yahoo Finance data.
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-06/a5690b3a-b66c-4626-a607-a4a49951296d.png" alt="" title="">
 <figcaption style="text-align: center;">
 Nvidia/USD, 5-day chart. Source: Yahoo Finance
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The chip manufacturer has become the fifth “Magnificent Seven” stock to split since 2022. Other firms that performed stock splits include Apple, Tesla, Amazon and Alphabet.
While the stock split could bring increased retail interest, it could also introduce additional volatility, according to Adam Coons, the chief investment officer of Winthrop Capital, who told Yahoo Finance: 
<blockquote data-ct-non-breakable="true">
 “They can be a little bit more quick and emotional with their buying and selling decisions, so that can lead to heightened volatility as you start to dilute the institutional buyers,”
</blockquote>
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<h2 data-ct-non-breakable="true" id="will-nvidia-flip-apple-to-become-the-world-s-second-largest-company">Will Nvidia flip Apple to become the world’s second-largest company?</h2>
Nvidia reached a $3 trillion market capitalization last week, driven by surging demand for semiconductor chips.
On June 5, <a href="https://cointelegraph.com/news/nvidia-microsoft-apple-artificial-intelligence-world-most-valuable-company-ai-stocks">Nvidia briefly surpassed Apple</a> as the world’s second-most valuable firm, before dipping back into third place. The $3.01 trillion valuation represented a new all-time high for Nvidia, which is currently back to a $2.97 trillion valuation.
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-06/e8f5d996-618b-41ab-ae8f-7a7aff33cc9a.png" alt="" title="">
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 Largest companies by market cap. Source: CompaniesMarketCap
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</figure>
Reaching the $3 trillion milestone is a “seismic event” for both Nvidia and the artificial intelligence industry, according to Gurps Rai, the CEO of droppGroup. Rai told Cointelegraph:
<blockquote data-ct-non-breakable="true">
 "Nvidia will continue its exponential growth for the time being and overtake Apple, as we witness a new era where AI-centric companies don’t just participate but dominate. This current shift will mirror the tech takeover in the Fortune 500, where the technology companies of today supplanted industrial giants.
</blockquote>
Nvidia’s graphical processing unit chips are the go-to hardware solution for developing AI applications. 
Leading AI development firms like OpenAI, Google and Microsoft all use Nvidia chips for AI development, driving demand for the chip manufacturing giant.
Nvidia’s price surge will continue to be propelled by the demand for AI-driven applications, according to Ilan Rakhmanov, the founder of ChainGPT Foundation. He told Cointelegraph:
<blockquote data-ct-non-breakable="true">
 "Nvidia’s GPUs enable the rapid processing of massive datasets, which is fundamental to AI-driven companies. Their stock has shown exponential growth this year and will continue to do so as adoption of AI grows rapidly."
</blockquote>
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Nvidia outperforms Apple by 25x, ahead of 10-to-1 stock split

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