Nasdaq Hits Record Close as Nvidia Streak Extends and Microsoft Valuation Dips to 2017 Lows

Nasdaq closed at a record 24,468, up 1.5%, as Nvidia’s eleven‑day rally lifted its stock to $201.68 while Microsoft’s forward earnings multiple fell to its lowest since 2017.

## Context The Nasdaq’s gain came amid easing geopolitical tension in the Middle East and a solid earnings backdrop for big tech. Investors shifted toward AI‑linked names, pushing the index to a fresh all‑time high. The five largest Nasdaq components all finished higher, setting up a consequential earnings week.

## Key Facts Nvidia’s stock reached $201.68, marking its eleventh consecutive daily gain, the longest streak in its history. The rally reflects renewed confidence in AI chip demand after strong TSMC data and continued hyperscaler capex.

Microsoft traded at $422.79, placing its forward earnings multiple at the cheapest level since 2017. Analysts’ consensus price target of $589.95 implies more than 58% upside from today’s price.

The Nasdaq Composite’s close of 24,468 represents a 1.52% increase for the session, extending its winning run to a record level.

## What It Means The Nvidia streak signals that institutional investors are re‑pricing the AI infrastructure trade, viewing the company’s valuation as attractive despite its recent run‑up. Microsoft’s low forward multiple suggests the market is pricing in slower near‑term growth, even as Azure cloud revenue continues to expand at a high‑teens pace.

The divergence between Nvidia’s momentum and Microsoft’s valuation highlights a split in investor sentiment: optimism for pure‑play AI hardware versus caution on software‑driven AI monetisation.

## What to Watch Next Watch Nvidia’s May 20 earnings for guidance on first‑quarter fiscal 2027 revenue and any update on AI chip demand. Monitor Microsoft’s April 29 report for Azure growth trends and adoption of its 365 Copilot AI suite.