Nvidia approves buyback of shares worth $50 billion; stock drops 2% despite strong results

Nvidia’s board of directors approved a $50 billion buyback of its shares while announcing its second-quarter earnings on Wednesday. The US chipmaker exceeded Wall Street estimates by a slight margin and registered a net income of $16.6 billion and a 122% rise in revenue to $30 billion.

Despite an impressive quarterly result, the company stock fell by 2% in the mark. Nvidia’s after-hours share price fell as low as 6.89%, indicating investors’ disappointment with the company’s results.