tl;dr
Microsoft's market value surged to approximately $4.1 trillion after an 8% rise in after-hours trading following a strong earnings report, potentially joining Nvidia as the only other company to surpass $4 trillion. Microsoft reported an 18% revenue growth, driven by its Azure cloud division, with A...
The $4 trillion club has welcomed a new member, at least based on after-hours trading. Following an impressive earnings report, Microsoft’s shares surged 8%, pushing the tech giant’s market capitalization to approximately $4.1 trillion. If this momentum holds into Thursday’s trading, Microsoft will join Nvidia as only the second company to reach this milestone.
Microsoft’s recent report revealed an 18% revenue growth, marking its fastest expansion in over three years, primarily fueled by its Azure cloud computing division. For the first time, Microsoft disclosed Azure revenue in dollar terms, revealing that sales from Azure and other cloud services surpassed $75 billion in fiscal 2025—a 34% increase from the previous year. As of Wednesday’s close, Microsoft shares had gained 22% year-to-date, outpacing the S&P 500’s 8% rise, and reached a record closing price of $513.71 on July 25. Extended trading pushed the stock above $553.
This surge places Microsoft alongside Nvidia, which first crossed the $4 trillion threshold earlier in the month. Both companies have been prime beneficiaries of the artificial intelligence boom, propelling them ahead of Apple on the market capitalization leaderboard. Apple currently ranks third at about $3.2 trillion, with shares down 17% this year amid investor concerns about its AI positioning. Apple’s quarterly results are expected after the market closes on Thursday.
Among the tech giants, Nvidia has been the standout performer in 2025, rising 33%. The company’s graphics processing units (GPUs) power the large language models developed by industry leaders like Microsoft, OpenAI, Google, and Meta, and are essential in the rapidly expanding data centers these companies are building. Nvidia’s next earnings report is scheduled for late August, with investors eagerly awaiting the results.