Alphabet surges toward $5 trillion, threatens Nvidia’s dominance as most valuable company

Shares of Alphabet Inc. are edging closer to a historic milestone, with the company now in contention to overtake Nvidia as the world’s most valuable firm, according to a CNBC report.

Alphabet closes in on $5 trillion mark

Alphabet’s recent rally has lifted its market capitalisation to over $4.6 trillion, placing it within reach of the $5 trillion threshold. The stock jumped nearly 10% after the company reported stronger-than-expected earnings. Much of the momentum has come from its cloud business, with Google Cloud revenue crossing $20 billion, signalling growing returns from Alphabet’s artificial intelligence investments.

Nvidia faces pressure at the top

Nvidia, which currently holds the top valuation globally, has slipped below $4.9 trillion after losing more than 6% in two sessions. The decline comes amid broader concerns around near-term AI growth trends, including reports of softer momentum among key industry players such as OpenAI.

Market bets point to a tight race

Options data cited by CNBC suggests traders are increasingly positioning for a potential leadership change:

Alphabet needs roughly a 4% gain to reach the $400–$401 range
Markets imply a 53% chance of it hitting that level before May 15
A 30% probability of closing above $400 by May 22

These figures indicate a closely contested race at the very top of global markets.

Nvidia earnings in focus

All eyes are now on Nvidia’s earnings on May 20, which could prove decisive. The stock has fallen after four of its last five earnings announcements, adding uncertainty heading into the results. A weak reaction could open the door for Alphabet to pull ahead sooner than expected.

If Alphabet does take the lead, it would mark its return to the top of global market rankings for the first time since 2016, when it briefly surpassed Apple Inc..