Nvidia’s $25bn stock buyback increases AI heat

<img width="562" height="339" src="https://www.leaprate.com/wp-content/uploads/2019/02/nvidia-1.jpg" class="webfeedsFeaturedVisual wp-post-image" alt="Nvidia’s $25bn stock buyback increase AI heat" decoding="async" style="float: left; margin-right: 5px;" link_thumbnail="" srcset="https://www.leaprate.com/wp-content/uploads/2019/02/nvidia-1.jpg 730w, https://www.leaprate.com/wp-content/uploads/2019/02/nvidia-1-230×138.jpg 230w, https://www.leaprate.com/wp-content/uploads/2019/02/nvidia-1-380×228.jpg 380w, https://www.leaprate.com/wp-content/uploads/2019/02/nvidia-1-88×53.jpg 88w, https://www.leaprate.com/wp-content/uploads/2019/02/nvidia-1-245×148.jpg 245w, https://www.leaprate.com/wp-content/uploads/2019/02/nvidia-1-500×301.jpg 500w" sizes="(max-width: 562px) 100vw, 562px" /><p>The global leader in AI computing also indicated that it would buy back $25bn in stock, which sent Nvidia shares skyrocketing in a matter of hours. The company’s share price closed at $471.16 on Wednesday, up +3.17% from the previous day’s close. It spiked even more after the bell rang, hitting a record 9.6% increase in trading.</p>
<p>Nvidia’s products remain in high demand as AI technologies mimicking human-like reading and writing continue to make an impact worldwide. Powered mostly by Nvidia chips, these innovations boost the company’s profits.</p>
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<div><img aria-describedby="caption-attachment-450281" decoding="async" class="wp-image-450281" src="https://www.leaprate.com/wp-content/uploads/2023/08/FIN-LP-Nvidias-25bn-stock-buyback-increase-AI-heat-5042840463-Jensen-Huang-700×459.jpg" alt="" width="98" height="64" srcset="https://www.leaprate.com/wp-content/uploads/2023/08/FIN-LP-Nvidias-25bn-stock-buyback-increase-AI-heat-5042840463-Jensen-Huang-700×459.jpg 700w, https://www.leaprate.com/wp-content/uploads/2023/08/FIN-LP-Nvidias-25bn-stock-buyback-increase-AI-heat-5042840463-Jensen-Huang-250×164.jpg 250w, https://www.leaprate.com/wp-content/uploads/2023/08/FIN-LP-Nvidias-25bn-stock-buyback-increase-AI-heat-5042840463-Jensen-Huang-768×504.jpg 768w, https://www.leaprate.com/wp-content/uploads/2023/08/FIN-LP-Nvidias-25bn-stock-buyback-increase-AI-heat-5042840463-Jensen-Huang-1536×1008.jpg 1536w, https://www.leaprate.com/wp-content/uploads/2023/08/FIN-LP-Nvidias-25bn-stock-buyback-increase-AI-heat-5042840463-Jensen-Huang-120×79.jpg 120w, https://www.leaprate.com/wp-content/uploads/2023/08/FIN-LP-Nvidias-25bn-stock-buyback-increase-AI-heat-5042840463-Jensen-Huang-245×161.jpg 245w, https://www.leaprate.com/wp-content/uploads/2023/08/FIN-LP-Nvidias-25bn-stock-buyback-increase-AI-heat-5042840463-Jensen-Huang-500×328.jpg 500w, https://www.leaprate.com/wp-content/uploads/2023/08/FIN-LP-Nvidias-25bn-stock-buyback-increase-AI-heat-5042840463-Jensen-Huang.jpg 2048w" sizes="(max-width: 98px) 100vw, 98px" /><p>Jensen Huang Source: Reuters</p></div>
<p>Experts estimate the Nvidia market monopoly will reign for several more quarters as the AI chip supply exceeds demand by roughly 50%. Chief Executive of Nvidia, Jensen Huang, commented:</p>
<blockquote><p>Companies worldwide are transitioning from general-purpose to accelerated computing and generative AI.</p></blockquote>
<p>Despite the chip buzz, analysts point out that it was the company’s overall AI offerings that amplified its Q2 bottom line. Nvidia creates complete AI machines with memory chips and parts from other suppliers.</p>
<p>But facts remain, everything from big tech companies such as Microsoft to AI startups are clambering to get Nvidia chips. Furthermore, studies show that China is stockpiling Nvidia chips through rush orders before US export restrictions take effect. This all adds to accumulating a healthy <a href="https://www.leaprate.com/exclusive/exclusive-forex-broker-atfx-launches-zoom-adobe-and-nvidia-cfds/" target="_blank" rel="noopener">Nvidia</a> financial profile.</p>
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