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© Reuters. FILE PHOTO: A view of a Nvidia logo at their headquarters in Taipei, Taiwan May 31, 2023. REUTERS/Ann Wang/File Photo

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(Reuters) -Nvidia (O:) briefly overtook Google-parent Alphabet’s (O:) stock market capitalization to become the third biggest U.S. company on Wednesday, days before the poster child of AI boom is due to report fourth-quarter results.

Strong demand for the Silicon Valley company’s chips used in artificial intelligence computing has powered the stock 231% in the past 12 months to record highs. Nvidia, which hit a market value of $1.83 trillion on Wednesday, were trading up 1.2% at 12:55ET, putting it’s market cap at around $1.80 trillion.

In comparison, Alphabet’s market capitalization is $1.81 trillion.

A 50% surge this year has lifted Nvidia to the top spot among the components stock performance, surpassing even the components of Magnificent Seven.

Earlier this week, it exceeded Amazon.com (NASDAQ:)’s market value, leaving the retail giant in the fifth spot. Microsoft (NASDAQ:) overtook Apple (NASDAQ:) last month to become the largest U.S. company.

Wall Street expects Nvidia to post $11.38 billion in fourth-quarter profit, up more than a staggering 400% from a year ago. Its revenue is expected to surge over three-fold to $20.37 billion. The company is scheduled to report results on Feb 21.

Nvidia now trades 33.19 times its forward earnings estimates, above the industry median multiple of 27.35, per LSEG data.

A higher multiple indicates the stock is more likely to have priced in its earnings potential, leaving little room for further growth.