After years of quiet, solid gains, Nvidia (NASDAQ: NVDA) stock has had a breathless ascent over the three years, climbing nearly 1,400%. It flew past Apple and Microsoft to become the most valuable company in the world, reaching a market value of $4 trillion in July, and it's now in a league of its own as the first $5 trillion stock.

The $5 trillion valuation surpasses the total cryptocurrency market value and equals roughly half the size of the pan European Stoxx 600 equities index, Reuters notes. At current prices, Huang’s stake in Nvidia would be worth about $179.2 billion, making him the world’s eighth-richest person.

Michael Burry, who was played by Christian Bale in the 2015 film The Big Short, has bet against Nvidia and other technology stocks, causing market plunges worth hundreds of billions of dollars.

Nvidia Corporation's soaring valuation reflects high AI optimism, but risks loom. Click for my updated look at NVDA stock and where I see it headed.

Nvidia is at the core of the AI revolution with its high-tech computer chips in high demand. They are the "brains" that power AI. AI will always need high-powered chips, so it may seem reasonable to think that Nvidia can weather the AI bubble popping. That's not likely.

Nvidia Corp. Chief Executive Officer Jensen Huang announced a flurry of new partnerships and dismissed concerns about an AI bubble, saying the company’s latest chips are on track to generate half a trillion dollars in revenue.

The artificial intelligence giant Nvidia on Wednesday notched yet another historic milestone, becoming the first company to be worth $5 trillion. The value of Nvidia alone is now worth more than the GDP of every country on earth, except for the United States and China, according to World Bank data.

Some companies will be more affected than others if a bubble bursts.

A wave of trillion-dollar AI deals linking Nvidia, OpenAI, and hyperscalers has sparked debate over whether massive datacentre spending and “circular” chip-financing loops mark a sustainable boom—or t