Does Nvidia Pay Dividends?

Nvidia pays a modest quarterly dividend. Learn about their dividend schedule, past payouts, share performance, and investment potential.

Nvidia Corporation, renowned for its advancements in graphics processing units (GPUs) and artificial intelligence (AI) technologies, has become a focal point for investors. While the company's growth trajectory is impressive, those seeking income through dividends may find Nvidia's approach modest compared to other tech giants.

Dividend Payment Schedule

Nvidia maintains a quarterly dividend payment schedule. For instance, the company announced a cash dividend of $0.01 per share, payable on 2 April 2025 to shareholders recorded as of 12 March 2025.

Historical Dividend Performance

Historically, Nvidia's dividend payouts have been relatively modest:

  • December 2024: $0.01 per share, paid on 27 December 2024, to shareholders recorded as of 5 December 2024.

This consistent yet minimal dividend underscores Nvidia's strategy of reinvesting profits into research, development, and strategic acquisitions to fuel growth.

Share Price Performance

As of 25 March 2025, Nvidia's stock price is approximately $148.29 per share. The company's shares have experienced significant appreciation, reflecting strong market confidence in Nvidia's innovations and market positioning.

Investment Considerations

Investing in Nvidia offers several advantages:

  • Market Leadership: Nvidia dominates the GPU market, essential for gaming, AI, and data centres.

  • Growth Prospects: The company's involvement in AI and machine learning positions it for future expansion.

However, potential investors should consider:

  • Low Dividend Yield: With a forward dividend yield of approximately 0.03%, Nvidia may not be ideal for those seeking substantial dividend income.

  • Valuation Concerns: Some analysts question Nvidia's premium valuation amidst market uncertainties.

Comparison with Similar Companies

When comparing Nvidia to peers:         

  • Intel Corporation (INTC): Offers a higher dividend yield but faces competitive pressures.

  • Advanced Micro Devices (AMD): Focuses on growth with no dividend payouts.

Nvidia's modest dividend reflects its emphasis on growth and innovation over immediate shareholder returns.

Final Thoughts

Nvidia does pay dividends, albeit at a minimal rate. The company's strategy prioritises reinvestment to maintain its leadership in rapidly evolving tech sectors. For investors seeking growth and exposure to cutting-edge technologies, Nvidia presents a compelling opportunity. However, those prioritising substantial dividend income may need to look elsewhere or balance their portfolios accordingly.