Nvidia Authorizes Record US$150 Billion Share Buyback
Chipmaker giant NVIDIA (NASDAQ:NVDA) authorized an unprecedented US$150 billion increase to its share repurchase program, the largest buyback authorization in corporate history.
The board’s authorization increases Nvidia’s total remaining buyback capacity to US$235 billion, which the company expects to execute through fiscal 2028.
The US$150 billion addition alone eclipses Apple'S (NASDAQ:AAPL) US$110 billion approval in 2024 and exceeds the individual market capitalization of roughly 84 percent of the companies in the S&P 500 (INDEXSP:.INX).
Nvidia shares rose more than 2 percent following the announcement. Through Friday last week, the stock had gained just over 20 percent year-to-date, significantly trailing the company’s semiconductor peers.
In comparison, Advanced Micro Devices (NASDAQ:AMD) (AMD) has more than doubled this year, while Intel (NASDAQ:INTC) has more than tripled.
"NVIDIA’s growth is being driven by a once-in-a-generation platform shift to AI and accelerated computing,” Nvidia founder and CEO Jensen Huang said in the announcement. “Our cash generation gives us the capacity to invest in the technologies that advance this transformation and return capital to shareholders. This authorization reflects our confidence in the long-term opportunity ahead.”
Nvidia recently forecast 70 percent revenue growth for fiscal 2028, projecting that demand for its processors will continue generating substantial free cash flow. The company also previously announced an US$80 billion share buyback in May.
On the same day, the company also concurrently launched the Open Agent Safety Platform, designed to secure AI agents from the testing phase through deployment. The platform combines the NVIDIA OpenShell open-source software with the NVIDIA Sentry reference system design.
The chipmaker is reportedly negotiating a US$10 billion anchor commitment for Anthropic’s impending initial public offering. The AI startup aims to raise up to US$100 billion prior to the November midterm elections, targeting a record-breaking US$2 trillion valuation.
Don't forget to follow us @INN_Technology for real-time news updates!
Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.
