Microsoft briefly became the world's second-most valuable company ahead of Nvidia, but its own stock dropped 3% and the lead was lost.
On Tuesday, Microsoft overtook Nvidia in market capitalization, claiming the position of the world's second most valuable company for the first time since June 2025. But by midday, shares of Microsoft had fallen more than 3%, and the advantage vanished.
The change in ranking resulted from Nvidia's difficulties rather than Microsoft's performance. Nvidia's stock declined over 6% amid a board investigation into whether CEO Jensen Huang was the subject of foreign intelligence targeting. Microsoft investors saw roughly $130 billion in market value erased by midday.
When Microsoft took the lead, its shares were already 0.4% lower, trading at $543.25. Nvidia's stock had fallen to around $167.
Selling pressure on Microsoft then intensified. By 12:45 p.m. ET, the stock reached $527.45, a decline of 3.25%, according to Yahoo Finance. The majority of the loss occurred after 12:30 p.m.
Based on CompaniesMarketCap data, Microsoft's valuation stood at roughly $3.92 trillion. Two minutes later, Nvidia's stock at $166.83 gave it a market cap near $4.03 trillion.
Nvidia's downturn has been sharp. According to Barchart data, the stock was around $243 in early October. It currently sits approximately 31% below that level.
BREAKING 🚨: Nvidia $NVDA has now erased $1.75 Billion of market cap over the last month 📉 📉 Nice work Jensen 🤦 pic.twitter.com/mFhGowOBXq
— Barchart (@Barchart) November 10, 2026
Consumer prices in October climbed 0.4%, exceeding the 0.3% that economists had predicted. The yield on the 10-year Treasury note surged to 4.93%. Market participants now see an 84% probability that the Federal Reserve will raise rates in December.
This AI-powered spreadsheet application directly rivals Microsoft Excel. The launch coincided with the first day of Anthropic's IPO roadshow.
Microsoft $MSFT -3%
— Wall St Engine (@wallstengine) November 10, 2026
Anthropic launched Claude Sheets today to take on Excel, plus Claude Meetings, an AI assistant that joins video calls, follows discussions and starts working on tasks while you're still talking.
Claude Meetings works with Google Meet at launch. https://t.co/6SPtHe9QDa pic.twitter.com/ws6hGbN4gf
Notably, Microsoft is one of the investors in a $26 billion private placement linked to Anthropic's IPO.
Anthropic's target valuation is now up to $1.02 trillion, lower than the $1.5 trillion previously mentioned, following a reduction in its IPO expectations.
“What we are seeing is essentially a reassessment of Anthropic’s value in a more challenging AI environment,” Fox reported, citing Ipek Ozkardeskaya, senior analyst at Swissquote Bank.
The Nvidia board has not disclosed a timeline for completing its review of the Jensen Huang situation. Anthropic has yet to announce a date for its Nasdaq listing. These two developments will influence which AI company occupies the number two spot going forward.
Share to
Disclaimer: this article comes from third-party media and is provided for reference only. It does not constitute investment advice. Crypto and other financial products carry significant price volatility risk, so please make your own decisions carefully.
MSCI is removing Strategy (MSTR) from its USA Index as of Nov 30, classifying it a non-operating issuer, which will force index-tracking funds to sell their…
The New York Times reported that Nvidia CEO Jensen Huang had an extramarital relationship with a subordinate, adding to an ongoing board investigation.
Nvidia shares dropped 3.66% in after-hours trading after a New York Times report alleged CEO Jensen Huang had a relationship with a subordinate executive. The…
MSCI is removing Strategy from its global indexes under a new non-operating company rule, forcing benchmarked funds to sell by November 30.