When I first read this I was super confused given someone like Berkshire Hathaway has hundreds of billions in the bank.... Then when I read what people are expecting it to generate in free cash flow.
Analysts polled by FactSet expect the company to generate $96.85 billion in free cash flow this year alone and $576 billion in free cash flow over the next three years.
I mean the absolute explosion in cash flow for Nvidia over the last few years has been incredible...
At the end of October, Nvidia had $60.6 billion in cash and short-term investments. That’s up from $13.3 billion in January 2023, just after OpenAI released ChatGPT.
It isn't like they are not already profitable either and they also have a dividend so they are pumping money out as well but their cash flow has just been so good that they can afford to invest billions into other companies.... Absolutely wild thing to see if I am being honest!