Nvidia Just Smashed Stock-Buyback Record
Nvidia authorized a record $150 billion increase to its share repurchase program Monday as the artificial intelligence boom continued to generate cash for the chip giant.
The new authorization eclipses Apple’s $110 billion buyback approval in 2024 and marks the largest corporate share repurchase authorization on record, according to Reuters. Nvidia’s shares rose nearly 2% following the announcement.
The company’s board gave Nvidia authority to spend up to an additional $150 billion repurchasing its own shares over time.
Nvidia was already buying back stock at a rapid pace. The company repurchased approximately $39.8 billion worth of shares during the first half of fiscal 2027, including roughly $19.7 billion during the second quarter, according to its latest filing.
The company returned a record $26 billion to shareholders during the second quarter, including approximately $20 billion through share repurchases and $6 billion through dividends, according to Nvidia’s earnings call.
Share buybacks reduce the number of shares outstanding and can increase earnings per share by spreading a company’s profits across fewer shares. They also allow companies to return excess cash to shareholders without permanently committing to larger dividend payments.
Nvidia generated record revenue from the global race to build AI infrastructure. The company reported $96.2 billion in second-quarter revenue, up 106% from a year earlier, while data center revenue reached $89 billion.
Nvidia’s quarterly revenue was still measured in the single-digit billions at the beginning of fiscal 2023. By fiscal 2025, quarterly revenue had climbed into the tens of billions. Now, the company was approaching $100 billion in sales every three months.
Nvidia was simultaneously expanding beyond the processors powering the AI boom. The company on Monday unveiled its Open Agent Safety Platform, software designed to secure autonomous AI agents from development through deployment.
The platform included Nvidia OpenShell, which placed security and privacy controls around autonomous agents.
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