Nvidia's AI Rise: Key Charts

Nvidia (NVDA) has outperformed every stock in the S&P 500 (^GSPC) since ChatGPT launched in late November 2022. The chipmaker's shares have increased nearly 700% since ChatGPT introduced artificial intelligence to a wider audience, significantly exceeding the S&P 500's approximate 45% gain during the same period. Vistra Corp (VST) is the next closest S&P 500 company, with a 540% increase.

Nvidia has become a primary provider of chips required for AI systems. Now at the forefront of AI development, Nvidia has become a cornerstone of the stock market's recent growth, with sales and profits rising in recent years. Ahead of the company's upcoming earnings release on May 28, several charts illustrating Nvidia's rise as a closely watched stock have been examined.

Market Capitalization

Nvidia's market capitalization compared to its competitors shows its lead in the AI boom. Around the launch of ChatGPT, Nvidia's market cap was just over $400 billion; now, it exceeds $3.3 trillion. During the same time, chip competitor Intel's (INTC) market cap decreased, while Advanced Micro Devices' (AMD) market cap rose from $125 billion to $177 billion.

Magnificent Seven

Nvidia's growth has been central to a new tech boom. Nvidia, along with Apple (AAPL), Alphabet (GOOGL, GOOG), Microsoft (MSFT), Amazon (AMZN), Meta (META), and Tesla (TSLA), formed the "Magnificent Seven." This group started the AI boom with a combined market cap of nearly $7 billion, which has grown to over $16.8 trillion. These seven companies have increased from about 22% of the S&P 500's market cap in November 2022 to 32% today.

S&P 500 Impact

Nvidia's significant weighting in the S&P 500 means that fluctuations in its stock impact broader market trends. In June 2024, three Wall Street strategists increased their year-end S&P 500 targets, citing strong performance from key AI companies. As of May 19, the Magnificent Seven have accounted for about 52% of the S&P 500's gain since Nov. 30, 2022. Nvidia has contributed 17.21%, more than any other stock in the group. Microsoft is second, adding approximately 8.8%.

Financial Growth

Nvidia's stock increase is supported by strong financial results. When ChatGPT launched, Nvidia reported $6.3 billion in revenue. Two years later, revenue reached $35.3 billion, a 460% increase. The primary driver of this growth has been its data center revenue, which includes sales of its AI chips. From the fourth quarter of 2023 to the final quarter of its 2025 reporting period, data center revenue grew almost 900%.

Data Center Revenue

Nvidia's data center revenue growth is notable compared to its industry peers. In the final quarter of 2024, Nvidia's data center revenue reached a record $35.58 billion, up from $3.62 billion in the final quarter of 2022. Alphabet's data center revenue increased to $11.96 billion, up from $7.32 billion in the final quarter of 2022.