Nvidia Has Returned $46 Billion to Shareholders This Year, and Another Major Dividend Hike Could Be Coming
The chipmaker is making more money than it could possibly put to work right now.
Overview
Nvidia (NASDAQ: NVDA) is currently the world's most valuable company, with a market cap of over $5.1 trillion as of Sept. 15. As the central chip designer of the AI boom, Nvidia's business has seen unprecedented demand, and as a result, huge amounts of cash keep rolling in. Now, it's beginning to ramp up shareholder returns instead of focusing solely on reinvesting for growth.
Through the first two quarters of its current fiscal year, Nvidia has returned around $46 billion to shareholders through dividends and stock buybacks, and much more is likely on the way.
Details
Nvidia first began paying a dividend in November 2012. After its 4-for-1 (2021) and 10-for-1 (2024) stock splits, the initial dividend was $0.001875 per share quarterly. Nearly 14 years later, Nvidia's quarterly dividend is $0.25 per share after it gave the payout a 2,400% boost in June from the $0.01 per share it previously paid.
Source
Originally published at www.fool.com.