WSJ reports Nvidia board moves to vote on removing CEO Jensen Huang, shares drop 9 percent after hours
According to The Wall Street Journal on November 12, Nvidia's board was set to vote on Jensen Huang's position, with the New York Times reporting five former employees alleging a second affair, and shares falling as much as 9 percent after hours.
According to The Wall Street Journal on November 12, Nvidia is preparing to remove chief executive Jensen Huang. The board planned to hold a special meeting as soon as that day to vote on his position.
The New York Times separately reported that five former Nvidia employees allege Huang had a second extramarital affair, this time with a company executive who once reported to him, raising the odds of his departure, with markets now pricing an 80 percent probability that Huang leaves before July 2027. According to people familiar with the matter, the previously unreported relationship involved Nvidia healthcare business vice president Kimberly Powell, and both are married. The report said the 63-year-old Huang and 48-year-old Powell were seen behaving intimately at a hotel in San Jose, California, during the GTC developer conference in March, with the video not made public and Nvidia declining to comment.
Nvidia's code of conduct requires employees to avoid situations where their own conduct creates conflicts of interest, including personal relationships, and the company said it investigates reports of misconduct promptly. Nvidia shares fell as much as 9 percent in after-hours trading on November 11, touching a low of 157.96 dollars, 9.08 percent below the 173.73 dollar close, taking market capitalization to about 4.19 trillion dollars. In regular session the same day the Nasdaq Composite rose 1.60 percent and the Nasdaq 100 rose 2.28 percent, with Micron up more than 11 percent and AI cloud provider CoreWeave up more than 24 percent, so the after-hours drop in Nvidia stood in contrast to a broadly rising technology sector.