Apple Reclaims the Throne... Overtakes Nvidia to Become No. 1 by Market Cap in 3 Months

Apple at $5.03 trillion, Nvidia at $4.93 trillion
Costs of AI infrastructure investments weigh on major tech companies
Investors turn to Apple for its relatively stable profits

After Nvidia, whose stock had led the market while driving the artificial intelligence (AI) industry, suffered a sharp decline, Apple regained its position as the world’s largest company by market capitalization for the first time in about three months.

According to Yonhap News Agency, foreign media outlets, including Bloomberg, reported that Apple had a market capitalization of $5.03 trillion on October 30 (local time) in the New York stock market. Apple shares fell 1.2% from the previous trading session, while Nvidia shares dropped 4.2%. Although both companies’ stock prices fell, Nvidia’s steeper decline reversed their rankings. Nvidia’s market capitalization stood at $4.93 trillion.

This was the first time Apple had overtaken Nvidia since July 2026. Analysts say the shift reflects market concerns about big tech companies’ expanding AI investments. As expectations for the AI industry grow, the market is also scrutinizing companies’ investment levels and actual profitability more closely. A key factor is how much revenue and profit investment in AI infrastructure will generate over the long term.

Apple's new product launch event held last September at the Steve Jobs Theater in Apple Park, Apple's headquarters in Cupertino, California. Yonhap News Agency

Major technology companies, including Google parent Alphabet, Meta and Amazon, are pouring substantial funds into data centers and AI computing infrastructure, but questions are growing about whether they can earn returns commensurate with their investment. Following recent earnings announcements by major technology companies, concerns over the cost of building data centers and uncertainty about when investments will pay off weighed on the stocks of related companies. The reversal is seen as an example of investors beginning to consider not only technology companies’ growth prospects but also their investment costs and ability to generate cash.

Apple, by contrast, generates stable profits through its iPhone and services businesses without investing large amounts of capital in AI infrastructure like its competitors. Bloomberg said Apple’s relatively restrained spending in the AI investment race had made it attractive to investors. Apple shares have risen 27% so far in 2026. According to Bloomberg, that is more than twice Nvidia’s gain over the same period. Apple’s free cash flow for fiscal 2026 is projected to reach $142 billion, up 38% from the previous year.

Despite losing the top spot by market capitalization, Nvidia is still considered a major player in the AI industry. Its graphics processing units (GPUs) are widely used to train and run generative AI models, while demand for semiconductors used in data centers is also a key growth driver for the company. Market capitalizations fluctuate with stock prices, so Apple and Nvidia could switch places again.

This content was produced with the assistance of AI translation services.