NVIDIA has increased its share repurchase authorization by $150 billion, raising its total remaining authorized repurchases to $235 billion. The company expects to execute the remaining program through fiscal year 2028.
According to NVIDIA, the $150 billion increase is the largest share repurchase authorization increase in history. The expanded program gives the company substantial flexibility to return capital to shareholders while continuing to invest in its artificial intelligence and accelerated computing businesses.
The board authorization does not require NVIDIA to repurchase a specific amount of stock immediately. Instead, it increases the amount available under the company’s existing program and establishes a framework for additional repurchases through fiscal 2028.
Share repurchase programs allow companies to buy their own stock in the open market or through other permitted transactions. The timing and amount of actual repurchases can vary depending on market conditions, capital requirements, investment opportunities, and other considerations.
NVIDIA said its cash generation gives it the ability to pursue both continued investment and shareholder returns as demand for artificial intelligence infrastructure and accelerated computing expands.
The company described the current technology environment as a major platform shift toward AI and accelerated computing, with its investment strategy focused on technologies supporting that transition.
The expanded authorization provides NVIDIA with additional capacity to repurchase shares over roughly the next two fiscal years while continuing to fund research, product development, infrastructure, and other strategic initiatives.
The announcement also highlights the scale of NVIDIA’s capital allocation capabilities. With $235 billion now remaining under the repurchase authorization, the program is considerably larger than the $150 billion increase announced on September 28 because it includes previously authorized but unutilized capacity.
NVIDIA did not disclose a fixed quarterly repurchase schedule or how many shares it expects to acquire under the program.
Actual share purchases will therefore depend on how management deploys the authorization over time.
The company also did not announce any changes to its dividend policy related to the expanded repurchase program.
NVIDIA’s board approved the authorization as the company continues to invest in AI and accelerated computing technologies.
The company cautioned that expectations regarding the timing and execution of repurchases are forward-looking and remain subject to risks and uncertainties, including economic conditions, competition, technology development, regulatory changes, and other factors affecting its business.
The $150 billion increase represents a significant expansion of NVIDIA’s capital return program and leaves the company with $235 billion in remaining repurchase capacity through fiscal year 2028.
KEY QUOTE:
“NVIDIA’s growth is being driven by a once-in-a-generation platform shift to AI and accelerated computing. 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.”
Jensen Huang, Founder and CEO of NVIDIA
