Nvidia Shares Plunge 4.34% Following Sudden Resignation of CEO Jensen Huang

Nvidia shares fell 4.34% to close at $166.19 on November 12 following the abrupt resignation of co-founder and CEO Jensen Huang. The departure triggered a massive wave of trading activity, with volume surging to 734.3 million shares—about 423% above its three-month average of 140.3 million shares. Broader indexes also retreated slightly, with the S&P 500 losing 0.35% to 7,592 and the Nasdaq Composite dropping 0.39% to 25,366.

According to the company, Huang stepped down after becoming embroiled in controversy involving relationships with workplace individuals and a customer allegedly linked to Chinese espionage. CFO Colette Kress has taken over as interim CEO while the board searches for a permanent successor, and Harvey C. Jones was named the company's first-ever Board Chair.

The leadership shakeup dealt a major blow to investor confidence, given Huang's instrumental role in steering Nvidia to the forefront of the artificial intelligence boom. In response, Wall Street analysts sharply reduced their price targets, with figures dropping as low as $185. Meanwhile, some capital rotated toward rival semiconductor players, pushing Advanced Micro Devices up 5.86% to $585.30 and Broadcom up 5.54% to $364.36.

What to watch next: Investors are closely monitoring the upcoming November 17 earnings call for clarity on leadership transition plans and ongoing AI demand.