Nvidia Announces $235 Billion Share Buyback and AI Acquisitions

Nvidia Corporation announced a record $235 billion share buyback program to support its fiscal year 2028 guidance. The move signals management confidence in the company's long-term free cash flow growth amid strong demand for its products and expected increases in AI infrastructure spending by hyperscalers.

To expand its AI software footprint, the company acquired Hugging Face and entered into a licensing agreement with Groq. These strategic moves have attracted antitrust scrutiny from regulators.

Despite its growth, the company faces supply constraints projected to last through 2027. Other risks include power availability, rising interest rates, and increasing competition from rivals such as AMD.