Should Nvidia Consider Paying a Special Dividend in 2024 to Reward Shareholders?

Nvidia (NVDA) has created stellar wealth for investors, and the stock has risen by more than 3,000% over the last five years. The returns would look even more mind-boggling if we extend the period to a decade.

The rise in Nvidia’s stock has been backed by solid growth, both on the topline and bottom line. For instance, analysts expect Nvidia to post revenues of over $120 billion in the fiscal year 2025, which is over 11x the $10.9 billion it posted in the fiscal year 2020. The company’s profit growth has been even more stellar; it's expected to post net income of over $67 billion in the current fiscal year, which is almost 19x its fiscal year 2020 earnings.