Nvidia's buybacks and dividends are closing in on Apple's, long the largest capital-return program among U.S. companies. Nvidia spent $26 billion on shareholder payouts last quarter and could overtake Apple within the next year, while Apple's new CEO, John Ternus, appears set to redirect cash toward product development instead.
Nvidia spent $19.73 billion on buybacks and $6.05 billion on dividends in its latest quarter. Apple repurchased $25.95 billion in stock and spent $4 billion on dividends over the same period, still leading on raw dollars even as the trend line moves the other way.
Apple pulls back as Nvidia ramps up
Apple's trailing-12-month buybacks peaked at $100 billion before declining to $82.2 billion, even as its earnings growth accelerates. Nvidia's buybacks, meanwhile, have been surging in lockstep with its free cash flow, after the company raised its dividend by 2,400% earlier this year.
On its Aug. 26 earnings call, Nvidia said it returned 60% of free cash flow to shareholders so far this fiscal year, ahead of its 50% guidance. The company still has roughly $99 billion remaining under its current repurchase authorization, giving it room to keep buying at pace.
Analysts see the gap widening
Evercore ISI analysts project Nvidia will return $115 billion to shareholders in 2026 and $230 billion in 2027. Jim Cramer has publicly advocated for Nvidia to quintuple its buyback program to $500 billion, urging the chipmaker to run the same playbook Apple perfected over the past decade.
A leadership change adds to the shift
John Ternus officially became Apple's CEO on Sept. 1, 2026, with Tim Cook moving to executive chairman. Ternus previously served as vice president of hardware engineering, and his appointment signals Apple may lean more on product innovation rather than buybacks to drive growth going forward.
Nvidia trades at 24.3 times earnings compared to 35.8 for Apple, a gap that could narrow if its dividend and buyback program keep expanding at their current pace.
Sources: The Motley Fool, Crypto Briefing
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