Alphabet Nears $5 Trillion After Strong Q1, Could Overtake Nvidia Soon To Become Most Valuable
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Alphabet nears 5 trillion market cap as shares surge on strong Google Cloud and AI growth, while Nvidia slips below 4.9 trillion, setting up a tight race for most valuable company
Alphabet Gains on Strong Q1, Eyes Top Spot as $5 Trillion Nears
Shares of Alphabet Inc. are inching closer to a historic milestone, with the tech giant potentially overtaking Nvidia to become the world’s most valuable company, according to a CNBC report.
Alphabet nears $5 trillion market cap milestone
According to CNBC, Alphabet’s strong rally has pushed its market capitalisation past $4.6 trillion, putting it within striking distance of the $5 trillion mark. The stock surged nearly 10% recently after the company posted better-than-expected earnings.
A key driver was its cloud business, with Google Cloud revenue crossing $20 billion — a sign that its AI push is gaining traction.
Nvidia slips amid growth concerns
Meanwhile, Nvidia — currently the world’s most valuable company — has seen its valuation dip below $4.9 trillion, CNBC reported. The stock has fallen over 6% in just two sessions.
The decline follows a report by The Wall Street Journal suggesting that OpenAI, a key partner, missed internal revenue and growth targets, raising concerns about near-term momentum in the AI space.
Options market signals tight race
As per CNBC, options traders are increasingly betting on Alphabet overtaking Nvidia soon.
- Alphabet needs roughly a 4% rise to hit around $400–$401 per share
- Options pricing suggests a 53% probability of reaching that level before May 15
- The probability of closing above $400 by May 22 stands at around 30%
These signals indicate that markets see a realistic chance of a leadership change at the top.
Nvidia earnings could be the turning point
CNBC noted that Nvidia’s upcoming earnings on May 20 could be decisive. The stock has declined after four of its last five earnings announcements, which adds uncertainty.
If Nvidia fails to rally post-results, Alphabet could take the lead sooner than expected.
If Alphabet does become No.1, it would mark a return to the top after nearly a decade. The company last briefly held the top spot in 2016, when it surpassed Apple Inc..
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