Nvidia Posts Record Quarter and Greenlights $80 Billion Buyback

Overview

• Nvidia reported record fiscal Q1 revenue of about $81.6 billion with extremely high gross margins and guided toward roughly $91 billion for the next quarter.
• The company returned roughly $20 billion to shareholders in the quarter, the board approved an additional $80 billion repurchase authorization, and it raised the quarterly dividend to $0.25 per share payable June 26 with a June 4 record date.
• Sales and product momentum are concentrated in data‑center offerings—GPUs, networking and software—with the Blackwell family and multimodal model work cited as key drivers and Rubin server plans expected to expand Nvidia’s server revenue mix.
• Several sell‑side firms lifted price targets and kept buy ratings after the results and some analysts say valuation looks reasonable versus growth using forward metrics such as a forward P/E near 24 and a forward PEG around 0.57.
• Analysts flagged tangible risks that could limit scaling, including foundry and memory bottlenecks at partners like TSMC, rising custom ASIC efforts by major cloud customers, and U.S.–China export controls that have led management to assume limited near‑term China compute revenue.