Resignation of Jensen Huang: Nvidia stock plunges 13% on Wall Street

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Nvidia announced Thursday, November 12, via its NVIDIA Newsroom account on

Colette Kress, group financial director, will take over as interim director and will keep her current position while the board finds a successor, internal or external. Harvey C. Jones, former head of Synopsys, becomes the first chairman of the board of directors.

The man who leaves is not a boss like the others. Born in Taiwan, Jensen Huang co-founded Nvidia in 1993 and transformed the graphics card maker into one of the largest market capitalizations in the world.

The stock market reacted immediately. In early trading, the stock plunged 13%, before reducing its losses during the session.

Weighed down by the fall in the stock, Wall Street opened lower and the Nasdaq Composite, with its strong technological coloring, lost 1.49%. The S&P 500 fell 0.78%, while the Dow Jones gained 0.13%, according to a Reuters report.

This resignation ends a trying week for the leader. At the beginning of November, the press revealed an extramarital affair with Alice Huang, a Chinese business leader, suspected of being a spy in the service of Beijing.

The main person confirmed this relationship and apologized to his family. On Wednesday, November 11, the American media reported a second case, with Kimberly Powell, 48, vice-president in charge of the group's health division.

The leader had been in the hot seat since the first revelation, and his departure therefore comes in the midst of an investigation into this relationship with Alice Huang.

The Journal du Coin followed this soap opera day after day, with Trump covering for Jensen Huang while the FBI investigated. And the fall of the title was already shaking Hyperliquid a few days earlier.

The explanation lies in the weight of the founder in the AI ​​wave. For Daniela Hathorn, analyst at Capital.com, there is a major risk here, as the founder was considered the figurehead of AI, beyond just Nvidia.

His departure sows confusion as the publication of the results, expected Tuesday, November 17, approaches, and casts a shadow over the future of the chip manufacturer. This meeting comes after the review of the 3rd quarter results of other IA stocks.

The board of directors ensures that operations and the product roadmap will continue without interruption.

The fall quickly went beyond Nvidia alone. Marvell Technology dropped 3.4%, Intel and Micron followed. The Philadelphia semiconductor index fell 0.8%. In other words, the entire AI chain moved backwards, from the chip to the cloud.

The decline then spread to the “neocloud”. CoreWeave, which had jumped the day before, fell by 7.3%.

This context also weighs on crypto: the Nasdaq was already dragging Bitcoin and Ethereum down the day before. The publication of Nvidia's results on Tuesday, November 17, will provide a first element of the answer. And the interim of Colette Kress has no announced end date.

Software and distributed systems engineer by training, passionate about cryptos since 2013.

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Machine-translated from French