Nvidia Boosts Share Buybacks by Record $150B Amid Rapid Revenue Growth

Nvidia announced it will boost its share buyback program by a record $150 billion through January 2028.

The move represents the largest-ever expansion of a stock repurchase program, and the company also plans to increase its dividend payout. Nvidia's rapid revenue growth and strong performance in its startup investment portfolio are driving these decisions.

Nvidia ended its fiscal second quarter with $22.44 billion in cash and cash equivalents, thanks in part to continued demand for its graphics cards. The company expects sales to increase by an additional 70% in fiscal 2028, surpassing Wall Street's expectations of a 40% growth.

Nvidia's revenue growth is fueled by its expanding product lineup, which now includes not only graphics processing units but also central processing units, networking gear, and other products. The company generates $40 billion in revenue for every gigawatt of data center capacity built by customers, a fourfold increase from 2022.