Nvidia's $6 Billion Dividend Pales Next to Stock Buybacks

Nvidia has declared its next quarterly dividend payment of $0.25 per share, which will cost the company roughly $6 billion.

This is a significant increase from the previous quarter's payment of one cent, but the shares still yield only about 0.43%.

The dividend payment will be made on October 1, with September 10 being both the ex-dividend and record date.

Nvidia has been repurchasing stock at a faster rate than paying dividends, with $19.7 billion spent on buybacks in its fiscal second quarter compared to $6.0 billion in cash dividends.