Nvidia shares slide as board weighs CEO Jensen Huang's future
Written by AI from cnbc.com's report. Not checked by a person.
Nvidia's stock fell sharply after Jensen Huang acknowledged an affair with a business executive reported to have been recruited by a Chinese intelligence service. Lawmakers called for his resignation and the board met to decide his future.
CNBC reports that Nvidia shares fell more than 8% in after-hours trading after the Wall Street Journal said the board could meet as soon as Wednesday, November 11, to discuss CEO Jensen Huang's future. Huang acknowledged an affair with Alice Huang, a business executive. According to people briefed on US intelligence, cited by CNBC, she had been recruited by China's Ministry of State Security to gather information on him. The New York Times also reported a relationship with another Nvidia executive. Senator Kevin Cramer, Representative Suhas Subramanyam and Representative Don Bacon called for him to resign. TechCrunch reports Congress plans to call Huang to answer questions. Huang tried to project 'business as usual' on his first day back at work. On November 12, CNBC reported Elon Musk replying that it would be an 'honor' to hire Huang, that Bernstein downgraded Nvidia and cut its price target by 50% to $200, and that the scandal is affecting Nvidia's Asian partners. The outcome of the board meeting had not been reported in the sources reviewed. Nvidia is the leading maker of AI chips.
