NVIDIA Corp. Chief Executive Officer Jensen Hwang speaks to media members outside a restaurant in the Hongdae district of Seoul, South Korea, on Friday, June 5, 2026.
Cho Sung Joon | Bloomberg | Getty Images
Nvidia The company aims to raise at least $20 billion in debt in its first bond sale since the AI boom began, according to a source familiar with the matter.
In a document filed with the SEC on Monday, NVIDIA disclosed plans for a capital increase, but did not include a dollar amount. Earlier this year, the chipmaker announced it could raise up to $25 billion through the issuance of unsecured commercial paper. The bond sale could ultimately be worth nearly $25 billion, the people said, asking not to be identified because the numbers are private.
Nvidia stock rose 3.5% on Monday and is up about 14% this year.
This chipmaker is the latest technology company to connect with artificial intelligence trading to tap capital markets. alphabet announced plans to raise $85 billion in an equity-related offering earlier this month, after securing more than $55 billion in new debt since November. And last week, super micro announced a $7 billion equity-related financing transaction to cover the cost of purchasing hardware components.
AmazonMeanwhile, it raised about $54 billion in bonds from U.S. and European bond sales earlier this year, and last week announced plans to raise about $10 billion from a Canadian bond sale.
Nvidia has approximately $7.5 billion in long-term debt and an additional $1 billion in short-term debt. In its previous bond raising in 2021, NVIDIA raised $5 billion, with bonds maturing in 2031. But NVIDIA was a much smaller company at the time, with sales of about $27 billion in fiscal 2022, compared to $216 billion in fiscal 2026.
The launch of OpenAI’s ChatGPT in late 2022 was a huge catalyst for Nvidia’s subsequent historic growth rate, as AI modeling companies and hyperscalers began consuming as many of the company’s graphics processing units as possible.
An Nvidia spokesperson said the company intends to use the proceeds from the offering for general corporate purposes, such as repaying or refinancing existing debt.
Nvidia announced an aggressive capital return program in May, raising its dividend from 1 penny to 25 cents per share and announcing plans to buy back $80 billion in stock. Nvidia generated $49 billion in free cash flow in its latest quarter, up from $35 billion in the same period last year, and reiterated in its latest earnings release that it plans to “return approximately 50% of free cash flow to shareholders this year.”
WATCH: Wedbush analyst says Nvidia is undervalued
