Monday morning, following the news that the AI chipmaker would be joining the Dow Jones Industrial Average as one of the top 30 major U.S. stocks, Nvidia's (NVDA, Financial) share jumped 1%. Nvidia's inclusion in the list underscores its growing impact in AI and technology, replacing longtime Dow member Intel (INTC), which dropped 4% on the announcement. The rearranging starts at the end of this week.
The relocation captures a larger market change toward AI-driven expansion. Driven by demand for its Hopper chips, which enable advanced generative AI models, Nvidia, known for its high-performance AI chips, has acquired superb momentum this year. Nvidia unveiled its next-generation Blackwell AI chip platform in March, and it has also found great demand, which helps to explain record-high earnings and a price approaching $3 trillion.
Furthermore, earlier this year's stock split by Nvidia attracted additional investors, which has driven a 173% increase in share price YTD and a 193% rise over the last year. With a stunning 2,498% increase over the past five years, Nvidia's stock confirms its leadership in the tech and AI markets.
