Microsoft Joins Nvidia in $4 Trillion Club

The $4 trillion club is now a party of two.

Microsoft (MSFT) on Thursday became the second company in history to reach a $4 trillion market value as tech stock prices continued to climb on booming AI demand.

Microsoft’s stock popped 7% at the open, putting its market capitalization at $4.09 trillion, after the company’s fiscal fourth-quarter results blew past expectations on strong growth in all of its businesses, but especially in its cloud computing and AI services. 

Microsoft’s entry into the $4 trillion club comes just weeks after Nvidia (NVDA) became the first company to reach the milestone. Its market cap briefly crossed $4 trillion in intraday trading on July 9, but it wasn’t until July 10 that it closed above the threshold. 

Microsoft was already America’s second most valuable company, worth nearly $2 trillion, when the launch of ChatGPT in late 2022 sparked an AI frenzy in Silicon Valley and on Wall Street. But surging demand for AI and cloud computing has turbocharged Microsoft’s growth in the last three years. The company on Wednesday reported 2025 fiscal-year revenue of close to $282 billion, up from $198 billion in the fiscal year before ChatGPT, and net income of $102 billion, up from $73 billion. 

With about 7.4 billion shares outstanding, Microsoft stock will need to close at or above $538.13 to stay in the $4 trillion club. Shares were up 5% just above $539 in recent trading.