Nvidia hits record high as rebound pushes market cap toward $6T
Shares rose 2.9% Friday and have rebounded nearly 25% from their July low as AI agent optimism and a record buyback revive investor demand.
Nvidia is back on top of its own chart. Shares of the chipmaker hit a record high on October 2, 2026, the first time the stock has reached that territory since May.
Not long ago, the stock was in a rough patch. A two-month selloff had wiped out more than $1 trillion in market value.
The numbers behind the comeback
Nvidia traded as high as approximately $237.75 during the session, a 2.9% gain on the day. That level clears the prior record close of $235.74, set on May 14, 2026.
The move caps a recovery rally of nearly 25% from the lows the stock hit in late July.
The rebound has pushed Nvidia’s market capitalization to approximately $5.7 trillion. That leaves the company less than $300 billion short of $6 trillion.
Through early October 2026, the stock was up about 27% for the year. That puts Nvidia on track for a fourth consecutive year of double-digit returns.
A $150 billion vote of confidence
The latest leg higher followed a major corporate announcement. Nvidia’s board approved a $150 billion increase to its share repurchase program, the largest single additional buyback authorization in corporate history.
AI, tech, and the markets they move—in one daily briefing.
Daily. Free. Join 34,000+ readers across crypto, finance, and policy.
With the new authorization, Nvidia’s total remaining buyback capacity stands at $235 billion. The program extends through fiscal 2028.
Wall Street piles back in
Analysts helped the mood too. Morgan Stanley reinstated Nvidia as its top semiconductor pick after meeting with CEO Jensen Huang.
The other driver is familiar. Investors remain optimistic about demand for artificial intelligence infrastructure, the data center hardware that powers AI models.
What this means for investors and the chip sector
The most immediate thing to watch is the $6 trillion line. Nvidia sits less than $300 billion away.
The buyback adds a structural tailwind that did not exist at this scale before. With $235 billion in remaining capacity through fiscal 2028, Nvidia has a deep pool of capital it can deploy into its own shares.
There is a fair debate here as well. Spending this much on buybacks means that cash is not going elsewhere, such as acquisitions or new investment.
For traders, the playbook is fairly clear. Watch for developments in AI capital spending, any updates on how aggressively Nvidia executes its buyback, and analyst calls like Morgan Stanley’s.