Apple surpasses Nvidia to become world's most valuable company

Apple ended Monday as the world's most valuable company, overtaking artificial intelligence chipmaker Nvidia. The iPhone maker's market capitalization rose to $4.95 trillion, while Nvidia's fell to $4.77 trillion. This marks the first time since April 2025 that Apple has held the top spot.

Nvidia had held the position of the world's most valuable company since June 2025, when it surpassed Microsoft. The surge in the AI sector significantly boosted Nvidia's valuation, with its market cap briefly reaching $5 trillion in October.

The chipmaker's shares dropped 5% on Monday, amid investor concerns about the substantial costs associated with AI infrastructure development. Apple's stock, meanwhile, gained 1%. Investors have recently favored Apple for its cautious approach to AI spending, opting to rent capacity rather than build its own.

Year-to-date in 2026, Nvidia's stock has increased by only 4%, compared to Apple's 24% rise. While Nvidia's sales have experienced significant AI-driven growth for three years, investor focus has shifted from graphics processing units (GPUs) to memory chips and other data center infrastructure benefiting from the AI boom.

Apple is scheduled to report its quarterly earnings on Thursday. The company is expected to provide initial details on the financial impact of a global memory chip shortage, driven by AI demand, which led Apple to increase prices for its Mac and iPad devices in June.