Nvidia Shares Plunge Nearly 14% in Early Trading Following CEO Jensen Huang's Resignation Amid Affair Scandal
Nvidia shares dropped 14% on Thursday, 12 November 2026, following CEO Jensen Huang's resignation due to affair allegations. The company lost $600 billion in market cap over the week. CFO Colette Kress was named interim CEO. US intelligence had suspected one of the women involved of Chinese intelligence links, but Singapore authorities found no evidence of espionage. Investors are concerned about Nvidia's leadership transition and AI market position.
How this was made
The 30-second read
Why it matters
The resignation caused a $600 billion market‑cap loss and a 14% share plunge, marking a major governance shock for the AI chip leader.
Market read
Nvidia's abrupt leadership change drives immediate negative sentiment, likely spilling over to the broader AI semiconductor sector.
What to watch
Potential interim CEO Colette Kress may stabilize operations quickly; no immediate supply chain disruptions reported.
Background
Jensen Huang, co‑founder and long‑time CEO, resigned following allegations of extramarital affairs and suspected foreign intelligence links.
Ticker impact
Nvidia shares fell 14% in early trading after CEO Jensen Huang resigned amid scandal.
likely continued pressure as investors reassess governance risk
The abrupt resignation of the founder-CEO triggers uncertainty and a sharp sell‑off.
Market effects
AI chip sector faces heightened governance scrutiny; peers may see short‑term rally.
US tech indices likely dip; Asian markets may react to US sell‑off.
Nvidia's size makes the news globally relevant, affecting AI‑related equities worldwide.
Counterpoint
The leadership transition could bring fresh strategic focus, offering a buying opportunity at a lower price.
Key entities
- personJensen Huang
Founding CEO of Nvidia who resigned.
- personColette Kress
CFO appointed interim CEO.
