Microsoft rose 1.3% to $404 a share on Wednesday, marking the company’s valuation above $3 trillion for the first time in history. The technology and artificial intelligence leader joins Apple and becomes the second company in the world to achieve such a milestone. Apple first reached this level last summer, and with a stock price of around $195 per share, it remains just above this level.
Microsoft’s value rose more than 9% in January, including Wednesday’s trading session, exceeding Apple’s 5.45% gain.
The stock’s surge follows a string of recent strategic wins for the company, starting with CEO Satya Nadella’s decision last year to take a multibillion-dollar stake in OpenAI, the maker of ChatGPT.
The move helped solidify Microsoft’s position as a leader in the emerging artificial intelligence space, as ChatGPT OpenAI became the face of the AI boom last year. As The Information reported in October, the company generates about $1.3 billion annually, which has contributed to a shift in priorities for Microsoft as a whole toward artificial intelligence.
Thanks to artificial intelligence, Wall Street strategists expect strong results in Microsoft’s latest earnings report. According to CNBC, Citi analysts raised their target price and maintained their “buy” recommendation for the stock.