Nvidia shares dropped more than 13% to $151.00 on Thursday following the resignation of CEO Jensen Huang from his executive and board roles. The decline coincides with a Reuters report detailing a third alleged extramarital affair involving a company employee, alongside an ongoing FBI investigation into whether associate Alice Huang worked for Chinese intelligence.
Bearish
🤖 75%
Jensen Huang resigned as CEO and board member on Thursday, hours before Reuters reported a third alleged affair, and the shares already fell more than 13% to $151.00 on Thursday. An FBI probe into whether Alice Huang worked for Chinese intelligence adds governance and national-security overhang, and fresh disclosures are still emerging. Ongoing leadership uncertainty and reputational damage argue for continued pressure.
Catalysts
- ▼ Jensen Huang resigned as Nvidia CEO and board member on Thursday
- ▼ Reuters report of a third alleged affair, citing two people familiar with the matter
Risk Factors
- ▲ The 13% drop on Thursday to $151.00 may have already priced in the resignation and initial reports
- ▲ Beijing denies the spying allegations and the Justice Department has not determined whether Alice Huang was a Chinese spy