Nvidia Reports Record Shareholder Returns
Nvidia (NASDAQ: NVDA) returned a record $26 billion to shareholders in its fiscal second quarter of 2027, including a significant increase in its quarterly dividend to $0.25 per share. The company plans to return at least 50% of its free cash flow, net of strategic uses, through buybacks and dividends. Analysts project Nvidia’s free cash flow to soar to $441 billion by fiscal 2029.
During the fiscal Q2 earnings call, CFO Colette Kress indicated that Nvidia aims to enhance its capital returns, with buybacks expected to contribute significantly. In the last quarter alone, Nvidia repurchased nearly as much stock as in the entirety of fiscal 2025, totaling $33.7 billion. Currently, the annualized dividend payment stands at $24 billion, which is 18% of the company’s trailing free cash flow, suggesting potential for considerable future growth.
Nvidia experienced a 106% year-over-year revenue increase in fiscal Q2, driven largely by demand from both major tech firms and smaller AI startups. This performance underscores Nvidia’s impressive growth trajectory, despite its rising dividend payouts.
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