The chipmaker lost more than $570 billion in market value over five days as investors reacted to an abrupt leadership purge and mounting regulatory scrutiny. Board members ousted Jensen Huang over personal conduct scandals, elevating Chief Financial Officer Colette Kress to interim chief executive. The crisis has triggered a flurry of Wall Street downgrades ahead of impending congressional testimony and quarterly earnings. The erased market capitalization notably exceeds the total individual valuation of 96% of the companies tracked in the S&P 500.
Key points
The recent market value loss of over $570 billion exceeds the individual valuation of 96%…: The recent market value loss of over $570 billion exceeds the individual valuation of 96% of S&P 500 companies.
Former CEO Jensen Huang faces an upcoming congressional appearance to testify under oath…: Former CEO Jensen Huang faces an upcoming congressional appearance to testify under oath before the Thanksgiving holiday.
The sudden executive transition and political pressure create a turbulent environment ahe…: The sudden executive transition and political pressure create a turbulent environment ahead of quarterly earnings on November 17.
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The stock fell 2% to close at $162.85 Friday, extending losses over the last five trading days to 13%, the worst weekly decline since April 2025 when President Donald Trump unveiled a sweeping set of tariffs that roiled equities around the world. It was also Nvidia stock’s sixth straight week of losses, the most since 2012.
In this week’s tumble, Nvidia shares erased more than $570 billion in market value, a loss that is greater than the market value of 96% of stocks in the S&P 500.
Selling pressure increased this week after Huang admitted to having an affair with an alleged Chinese spy and reportedly had another affair with an employee. Huang was removed by Nvidia’s board of directors and replaced with Chief Financial Officer Colette Kress as interim CEO.
Wall Street analysts have largely shifted to wait-and-see mode in the wake of the scandal. At least 13 analysts covering the chipmaker have downgraded shares this month, the majority of those coming this week, according to data compiled by Bloomberg. The company now has 15 hold ratings, the most…
This strategic purchase establishes a major European operational footprint for the Chinese e-commerce company in the consumer electronics retail sector. Regulatory clearance from the European Union removed the final barrier, allowing the buyer to formally integrate the German retail business into its international portfolio.
Internal fallout and severe market backlash followed revelations that corporate leaders were misled regarding ties to a businesswoman facing U.S. espionage inquiries. The controversy surrounding these misrepresentations and additional extramarital affairs led to an abrupt executive resignation. Consequently, the chipmaker's valuation suffered a historic collapse, wiping out more than a trillion dollars in investor value.
Silicon Valley leaders and company shareholders are rallying behind Nvidia's co-founder following his abrupt resignation linked to an admitted affair with an executive suspected of foreign espionage. The campaign challenges the board's handling of the crisis, urging directors to grant Huang due process through an independent inquiry. This intensifying pushback highlights deep internal loyalty and raises scrutiny over the governance decisions that led to his exit.