Nvidia Announces $150 Billion Share Buyback Expansion
Artificial intelligence (AI) leader Nvidia has announced a historic increase of $150 billion in its share repurchase authorization, bringing the total remaining buyback program to $235 billion. The move is set to last until fiscal 2028 and reflects management's confidence in long-term growth opportunities as well as strong cash generation capabilities. Nvidia currently trades at a forward earnings multiple of 25, significantly lower than the Nasdaq Composite’s average of 39. This valuation suggests that the stock may be undervalued given its robust financial performance, including an expected near-doubling in fiscal 2027 earnings per share and projected revenue growth exceeding 70% through fiscal 2028. The company is also positioned to benefit from a rapidly expanding AI infrastructure market. With an estimated $3-$4 trillion in annual spending by 2030, Nvidia’s dominant chip design position—accounting for around 80% of the market—gives it strong growth potential.
Tickers: $NVDA
Topics: capital return Nvidia stock repurchase