Nvidia Returns $26 Billion to Shareholders in Q2 and Increases Dividends
In the second quarter of fiscal year 2027, Nvidia returned approximately $26 billion to shareholders through share repurchases and dividends. This amount exceeded its free cash flow for the period ($21.3 billion) and was nearly ten times its capital spending. The company has significantly increased shareholder returns over recent quarters, with a total of more than $45 billion in buybacks and dividends during fiscal 2027's first half alone. Nvidia raised its quarterly dividend from $0.01 to $0.25 per share in May and authorized an additional $80 billion for stock repurchases without expiration, signaling confidence in sustained profitability. The company also issued $25 billion of senior notes in June as it continues returning a significant portion—over 60% year-to-date—of its free cash flow to shareholders. Despite high returns to investors, Nvidia is not reinvesting the capital into core operations due to outsourced manufacturing and instead has focused on strategic investments. The company spent over $42 billion in equity stakes during fiscal 2027's first half and recently agreed to acquire Hugging Face for about $12.9 billion.
Tickers: $NVDA
Topics: capital spending dividends free cash flow stock buybacks