Nvidia Nears Valuation of All German Stocks Combined

Nvidia’s stellar first-quarter results have positioned the chipmaker at the forefront of the artificial intelligence revolution, with its market value on track to match that of all listed German companies combined.

As of Wednesday, data from FactSet shows that companies with primary listings in Germany have an aggregate value of €2.315 trillion, or $2.51 trillion.

Nvidia’s NVDA, -0.46% after-hours surge to $1,007 per share paves the way for the company to reach a market value of $2.5 trillion.

A comparison reveals that German companies, ranging from A.S. Creation Tapeten ACWN to Zooplus ZO1, including major players like BMW BMW, +0.09%, SAP SAP, +1.47%, and Volkswagen VOW3, +1.01%, earned €121.56 billion on sales of €2.96 trillion last year, according to FactSet.

In contrast, Nvidia, with its better-than-forecast fiscal first quarter, has earned $42.6 billion on sales of $79.7 billion over the past 12 months.

Nvidia is rapidly expanding both its revenue and profit. Its adjusted earnings per share increased by 461% year-on-year, with sales growth of 262%.

For investors preferring broader exposure to the German market over a single company like Nvidia, the iShares MSCI German ETF EWG, which tracks an index covering about 85% of the German market cap, is an easy option.

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