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Nvidia Returned a Record $26 Billion to Shareholders. Here's Why That Matters.

The chip leader raised its dividend 25-fold after revenue doubled last quarter.

Nvidia Returned a Record $26 Billion to Shareholders. Here's Why That Matters.

Published September 14, 2026 · Category: Finance

Overview

Nvidia (NASDAQ: NVDA) isn't a stock most investors buy for the dividend. Until recently, its payout was so small that its trailing dividend yield sat near 0.02%. But in its fiscal second quarter of 2027, Nvidia returned $26 billion to shareholders through share repurchases and dividends -- including a 25-fold jump in its quarterly dividend to $0.25 per share.

That matters, because Nvidia is starting to send more of the free cash flow it is raking in from the AI data center build-out back to shareholders, even as revenue accelerates. Nvidia could become one of the market's most compelling dividend growth stories.

Image source: Getty Images.

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Originally published at www.fool.com.

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