Nvidia Stock Could Drop 50% and Still Be Worth More Than Meta

By Douglas A. McIntyre Published Jan 12, 9:10AM EST

24/7 Wall St. Key Points

The market cap of Nvidia Corp. (NASDAQ: NVDA) is more than twice as much as that of Meta Platforms Inc. (NASDAQ: META).
Nvidia has a huge advantage in that it almost single-handedly powers the AI revolution.
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Nvidia Stock Could Drop 50% and Still Be Worth More Than Meta — © ipopba / iStock via Getty Images

Its $4.5 trillion market cap makes Nvidia Corp. (NASDAQ: NVDA | NVDA Price Prediction) the most valuable company in the world. That puts it well ahead of Apple and Alphabet, which have market caps near $3.9 trillion. What is more staggering is that even if Nvidia’s market cap dropped 50%, it would be worth slightly less than Amazon ($2.6 trillion) and much more than Meta Platforms Inc. (NASDAQ: META) ($1.6 trillion). This shows the huge advantage of being the company that powers the AI revolution almost single-handedly.

Nvidia may be known as an arms dealer. That is, it provides companies at war over artificial intelligence with the one thing they absolutely must have. Without its chips, none of the big players can build their arsenals to pound away at one another. From Meta to Microsoft to OpenAI or Grok, none has a huge revenue base that is growing at a rate of 60% a year, a number that could accelerate. In its most recent quarter, Nvidia’s revenue rose 62% year over year to $57 billion. Earnings were up 67% to $1.30 per share.

Note that at Nvidia’s current revenue growth, the company could be larger in revenue than Apple is within two years.

Nvidia is also picking off parts of the AI revolution via investments. It has investments in 138 companies, most of which are in the AI industry. This includes CoreWeave, ARM, Applied Digital, OpenAI, Anthropic, and xAI. Its investments alone must be worth at least tens of billions of dollars.

Nvidia has finally been able to sell products to China, which is second only to the United States in AI development. This move could bring the company tens of billions of dollars in sales. CEO Jensen Huang puts the figure at $50 billion.

Nvidia reportedly has over 90% of the AI chip segment worldwide. That figure is unlikely to change soon.

Nvidia is worth more than twice as much as Meta because Meta is a combatant to which it sells bullets.

Nvidia Stock Price Prediction and Forecast 2026–2030

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About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.