Nvidia announces an additional $150 billions stock buyback plan, pre-market stock price rises and turns positive

Amidst the ongoing expansion of AI demand, NVIDIA is further increasing its shareholder returns. The implementation of the company’s large-scale buyback plan also reflects its strong profitability and cash flow, which are providing support for continued repurchases.

On September 28, NVIDIA’s board of directors approved an additional $150 billion stock repurchase authorization, marking the largest single increase in buyback authorization in the company’s history. After this increase, NVIDIA’s remaining stock repurchase quota has risen to $235 billion, and the company plans to complete the buyback before the end of the 2028 fiscal year.

NVIDIA CEO Jensen Huang stated that the company’s growth is being driven by a new wave of platform transformation propelled by AI and accelerated computing. As demand for AI training and inference continues to increase, NVIDIA’s high-performance chip demand remains robust, and the company’s expanding profits and cash flow have provided the financial foundation for ongoing large-scale repurchases.

Jensen Huang said, NVIDIA’s growth is fueled by “a once-in-a-generation AI and accelerated computing platform transformation.” The substantial increase in buyback capacity means that, while continuously expanding investments in AI infrastructure, NVIDIA is also further enhancing capital returns.

After the announcement, NVIDIA’s stock price once rose about 1.7% in pre-market trading before narrowing its gains to about 1%. During the same period, Nasdaq 100 index futures fell about 0.8%, S&P 500 index futures dropped about 0.4%, and NVIDIA’s stock outperformed the broader market futures significantly.