The accomplishment is even more impressive considering it has been just two years since Nvidia passed $1 trillion in market cap. Apple and Amazon reached $1 trillion in 2018 and Microsoft followed suit in 2019.

Nvidia briefly eclipsed a $4 trillion valuation on Wednesday. Nvidia's growth is closely tied to the expansion of AI data centers. Investors need to see Nvidia's growth stay rapid to justify its stock price.

Nvidia briefly reached a market capitalization of $4 trillion on Wednesday, making it the first company in the world to reach the milestone and solidifying its position as one of Wall Street's most-favored stocks.