Apple regains title as world's most valuable company, surpassing Nvidia
Apple once again surpassed Nvidia in company valuation as investors grew concerned over massive spending on artificial intelligence. On this day, Apple shares fell by 1.2%, while Nvidia's dropped by 4.2%.
Investors began viewing the iPhone maker as a safer asset following weak reports from Intel and Amazon, which heightened doubts about the prospects of artificial intelligence investments. Meanwhile, Apple has largely refrained from such expenditures.
Spending on AI has led to negative free cash flow for Alphabet and Amazon. Companies are increasingly turning to the debt market, and rising interest rates are making loans more expensive.
The Nasdaq 100 index fell by 6.7% in October, marking its worst monthly performance since March 2025. Shares of CoreWeave and Nebius Group, which sell computing power for AI, lost over 30% in a month, while Intel's stock declined by more than 45%. Investors are worried that substantial investments in AI infrastructure have yet to result in noticeable revenue growth for companies.
