Nvidia boosts share buyback by record $150 billion as AI boom fuels growth
NVDA•Nvidia added $150 billion to its share buyback authorization, bringing remaining capacity to $235 billion, which it expects to use through fiscal 2028. The company ended its July quarter with $22.44 billion in cash and cash equivalents.
1. Buyback authorization expanded
Nvidia increased its share buyback authorization by $150 billion, the largest-ever increase in a stock repurchase program. The move lifts its remaining buyback capacity to $235 billion, which the company expects to use through fiscal 2028 as demand for AI training and inference fuels cash generation.
2. Cash and valuation
Nvidia ended the July quarter with $22.44 billion in cash and cash equivalents. Its shares were trading at about 16.5 times 12-month forward earnings, the lowest level since January 2015 and below the 15-year average of 30.
3. Growth outlook
CEO Jensen Huang said the company’s cash generation gives it capacity to invest in technologies and return capital to shareholders. Last month, Nvidia forecast about 70% revenue growth for fiscal 2028; it has also invested in AI startups and cloud providers, drawing scrutiny from some investors over whether that funding indirectly supports demand for its chips.
