Nvidia Beats Microsoft To Be The Biggest Of The Big: Here Are 6 ETFs Riding Its Trillion-Dollar Rebound
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jun 05 2025
0mins
Source: Benzinga
Nvidia's Market Position: Nvidia has reclaimed its status as the world's most valuable publicly traded company with a market cap of $3.45 trillion, driven by strong demand for its chips and data center hardware, despite geopolitical challenges.
Impact on ETFs: The surge in Nvidia's stock is positively affecting various AI and semiconductor ETFs, many of which have significant allocations to Nvidia, reflecting a broader trend towards investing in AI infrastructure.
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Analyst Views on GOOG
Wall Street analysts forecast GOOG stock price to fall
15 Analyst Rating
14 Buy
1 Hold
0 Sell
Strong Buy
Current: 357.890
Low
255.00
Averages
336.08
High
400.00
Current: 357.890
Low
255.00
Averages
336.08
High
400.00
About GOOG
Alphabet Inc. is a holding company. The Company's segments include Google Services, Google Cloud, and Other Bets. The Google Services segment includes products and services such as ads, Android, Chrome, devices, Google Maps, Google Play, Search, and YouTube. The Google Cloud segment includes infrastructure and platform services, collaboration tools, and other services for enterprise customers. Its Other Bets segment is engaged in the sale of healthcare-related services and Internet services. Its Google Cloud provides enterprise-ready cloud services, including Google Cloud Platform and Google Workspace. Google Cloud Platform provides access to solutions such as artificial intelligence (AI) offerings, including its AI infrastructure, Vertex AI platform, and Gemini for Google Cloud; cybersecurity, and data and analytics. Google Workspace includes cloud-based communication and collaboration tools for enterprises, such as Calendar, Gmail, Docs, Drive, and Meet.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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See More
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See More
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- IT Capacity Expansion: Meta is expected to add approximately 2 GW of IT capacity in 2026/2027, and Morgan Stanley highlights the opportunity for Meta to lease compute capacity temporarily, although the estimated 2.5 GW rented from third parties may not be available for leasing.
- Earnings Potential: If Meta proceeds with the Neocloud plan, leasing 250 MW for one year could add about $3 (or 8%) to their 2028 EPS estimates, indicating significant monetization potential.
- Capital Expenditure Outlook: Morgan Stanley forecasts Meta's capital expenditures to rise to $175 billion/$205 billion in 2027/2028, primarily for new data center construction to support its cloud business expansion.
See More
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- Stock Doubling: Alphabet's stock has doubled over the past 12 months, lifting its market cap to approximately $4.4 trillion, reflecting strong market confidence in its future growth, particularly in the cloud computing sector.
- Cloud Revenue Surge: Google Cloud achieved a 63% revenue growth last quarter, with backlog swelling to over $460 billion, indicating robust market demand for the company's cloud computing and AI infrastructure, which will provide substantial support for revenue growth in the coming years.
- Profitability Improvement: Although the 82% increase in earnings per share was largely driven by unrealized investment gains, operating income rose by 30% with operating margins expanding to 36.1%, indicating a steady enhancement in the core business's profitability.
- Investment Risks: While the current stock price appears reasonable, Alphabet plans to increase capital expenditures to $190 billion in 2026, with returns potentially taking years to materialize, and high market expectations for cloud business could lead to stock price volatility, necessitating cautious investor sentiment.
See More
