Microsoft (MSFT) is quickly becoming a fan favorite for stock investors of the billionaire status, as it recently passed Nvidia in market cap. On Wednesday morning, MSFT surpassed a $2.9 trillion market capitalization, while NVDA’s remains on the downside of late. At press time, MSFT stock is trading around $390, looking to breach $400 for the first time since February 25.

Microsoft’s early and aggressive investments in AI place it at the forefront of tech and AI stocks. In 2025, several top companies, especially among the “magnificent 7,” are expanding their AI capabilities through investments and technological development. Microsoft’s CEO Satya Nadella has been supportive of this plan and says he doesn’t want to miss out on a potential billion-dollar opportunity. In a recent interview, Nadella spoke about the company’s AI future, saying that the company is only just getting started.

Most tech companies see AI as a goldmine, and are looking to incorporate the newest software. Microsoft is a leader in this, recently making advancements in chip technology that most devices use for AI incorporation. In February, Microsoft unveiled a “revolutionary” quantum chip. Indeed, the Majorana 1 is a new chip that allows for stable, scalable, and simplified quantum computing, the company stated.

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Currently, Microsoft has 39 billionaire investors, who in total hold $53.36 billion in MSFT stock. For smaller-cap investors, the tech giant may look like a solid investment option today due to its recent dip. MSFT’s recent losses have led to the stock losing the $400 support level, as it hopes to regain that level soon. Upon the market close Tuesday, MSFT traded at $388. Hence, some analysts suggest that if the stock fails to hold this level, “this yearlong top has the potential to count to $315-335.” A fall to $315 would reflect as much as a 20% drop from current prices.

In the quest to reclaim a $3 trillion market cap, Microsoft may be on a better path than Nvidia. Due to several economic factors and geo-political issues, the overall stock market is falling. However, when the market ultimately starts to rebound, MSFT may have an easier and shorter path towards $3T than Nvidia (NVDA), making it an intriguing investment option now.