Nvidia Approves a $150B Share Buyback! How Strong Is the AI Giant’s Cash Flow?

Nvidia has made another big move!
On September 28, Nvidia’s board of directors approved an additional $150 billion in stock buyback authority, bringing the company’s remaining repurchase authorization to $235 billion, expected to run through fiscal year 2028.
What does $150 billion even mean?

This is the largest single increase in buyback authorization in history—exceeding Apple’s $110 billion approved in 2024.

Why does Nvidia dare to spend so much?

The core comes down to two words: cash flow.

Ongoing demand for AI chips keeps generating massive profits, and Nvidia wants to continue investing in AI infrastructure while also returning cash to shareholders through buybacks and dividends.

Also, pay attention to this:
The $235 billion is not money that has already been spent, but rather the repurchase authority available for use in the future.
So what’s truly worth watching is how many shares Nvidia actually repurchases over the coming years, and how much the number of shares outstanding declines after the buyback.

This also sends a clear signal:
The cash flow generated by AI is starting to move beyond “keeping capacity expansion going” and into “repurchasing shares.”

Next, focus on:
👉 Nvidia’s actual buyback pace
👉 Whether AI chip demand can keep growing
👉 How Nvidia balances massive capital expenditures with cash returns

In one sentence:
Nvidia’s strongest point right now may not be just selling AI chips—but that AI chips are generating huge cash flow for it.

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