Nvidia launches record $150 billion buyback, the largest ever by a U.S. company

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The Santa Clara-based chipmaker said Monday its board authorized the increase just four months after adding $80 billion to the program. The company expects to deploy the total remaining $235 billion through fiscal 2028, which ends in January 2028.

Shares rose more than 2% on Monday. Through Friday, the stock was up just over 20% this year, broadly in line with the Nasdaq 100 but trailing AMD, which has more than doubled, and Intel, which has more than tripled. Nvidia shares were trading at about 16.5 times 12-month forward earnings, their lowest multiple since January 2015 and well below the 15-year average of 30, according to LSEG data.

Nvidia, the world's most valuable company with a market capitalization topping $5.4 trillion, posted revenue of around $177.8 billion and nearly $70 billion in free cash flow for the first half of its 2027 fiscal year. During the same period it spent $39.8 billion buying back 203 million shares.

"The AI buildout won't continue at its current pace forever, but Nvidia is signaling confidence that demand for its hardware and services has staying power," said Jacob Bourne, an analyst at Emarketer. Ben Barringer, head of technology research at Quilter Cheviot, said the buyback echoes Apple's playbook of using repurchases to support its stock as growth slows and valuation multiples come under pressure.