Nvidia Unveils Ambitious Shareholder Return Strategy

Nvidia returned a record-breaking $26 billion to its shareholders last quarter through share repurchases and dividends, including a significant increase in its quarterly dividend to $0.25 per share.

This move comes as Nvidia plans to return at least 50% of its free cash flow to shareholders through buybacks and dividends. Analysts predict that the company's free cash flow will reach $441 billion by fiscal 2029, providing ample room for further dividend growth.

Nvidia's CFO Colette Kress stated that the company plans to return 50% or more of its free cash flow, net of strategic uses, through buybacks and dividends. Strategic uses likely include acquisitions, equity investments, and similar uses of excess cash.