Nvidia Announces Record $235 Billion Stock Buyback Authorization
Nvidia has authorized an additional $150 billion in share repurchases, bringing its total remaining buyback authorization to a record $235 billion. The company plans to complete the program by fiscal 2028 and is currently executing it during Q3 of fiscal 2027. Jim Cramer praised the move on CNBC, suggesting that consistent and aggressive buybacks could significantly boost Nvidia's stock price. Despite strong financial performance—adjusted earnings per share have more than doubled in back-to-back quarters—and a projected 94% year-over-year growth for fiscal 2027, Nvidia has underperformed relative to the broader semiconductor sector. Its shares are up about 24% this year but rank as the seventh-worst performer within the iShares Semiconductor ETF. Cramer cited Apple's long-term buyback strategy as a model and urged Nvidia to adopt similar tactics during market dips. The company has already increased its quarterly dividend from $0.01 to $0.25 per share, signaling confidence in future cash flow.
Topics: buybacks Jim Cramer commentary Nvidia stock performance