Nvidia stock slides amid CEO leadership concerns

According to market data, Nvidia’s stock price decreased by 7.6%, reaching $160.50 shortly before 8 a.m. ET, a decline of $13.23 from Wednesday’s closing price of $173.73.

The downturn extended to other AI-related firms, including Intel, Marvell Technology, and Micron Technology, which saw premarket declines ranging from 2.7% to 3.5%. CoreWeave, an AI infrastructure company, also experienced a drop of approximately 7%. Conversely, competitors Advanced Micro Devices and Broadcom saw gains of 2.3% and 1.4%, respectively.

The market reaction follows a Wall Street Journal report indicating that Nvidia’s board convened Wednesday to discuss a potential leadership change. This deliberation is linked to scrutiny surrounding two alleged extramarital affairs involving Huang, one of which reportedly involves a woman with suspected ties to Chinese intelligence.

Nvidia has not officially announced any changes in leadership. The company stated Sunday that it initiated an independent investigation into reports suggesting Huang was targeted by a foreign intelligence operation. A committee of independent directors, with external legal counsel, is overseeing the review. Nvidia maintains that there is no indication of compromised national security or company secrets and expresses confidence in Huang and his leadership team.

Huang co-founded Nvidia in 1993 and has served as CEO throughout its growth into a leading supplier of AI processors. The potential leadership transition occurs as investors anticipate Nvidia’s upcoming quarterly results, scheduled for November 17, where focus will be on AI chip demand and the data center business.

Democratic senators have requested records from Nvidia pertaining to interactions with the Trump administration related to alleged connections with Chinese intelligence.