Jensen Huang Steps Down at Nvidia, Shares Tumble 10% in Pre-Market

Jensen Huang resigned as Nvidia's chief executive, president and board member on Thursday, with immediate effect, ending a 33-year stint leading the AI chip company he co-founded. Nvidia stock dropped 10.38% to $155.69 in premarket trading, as reported by Yahoo Finance.

The departure comes four days after the board expressed confidence in Huang. Nvidia ranks among the largest companies in the S&P 500, meaning the decline hits American index funds and retirement accounts, not just direct shareholders. S&P 500 futures fell 0.4% and Nasdaq-100 futures dropped 0.8% earlier on Thursday.

Who Is Running Nvidia Now?

Chief Financial Officer Colette Kress will act as interim CEO while retaining her CFO role until a permanent successor is appointed, Nvidia said in a press release.

She has overseen the company's finances since September 2013, following nearly 25 years at Cisco, Microsoft and other technology firms.

Harvey C. Jones, a former Synopsys CEO, becomes the board's first-ever chair. The board will evaluate both internal and external candidates for the permanent CEO role.

Nvidia provided no reason for Huang's exit. The board thanked him for his "immeasurable contributions" to the company and the industry.

Why Did Huang Step Down?

The resignation follows two weeks of controversy. On October 29, The New York Times reported on Huang's close relationship with Alice Huang, a Megaspeed executive alleged to be a Chinese government agent. Beijing denied the accusation.

Huang later acknowledged in an internal message that he had been unfaithful to his wife. On Wednesday, the Times reported a second alleged affair involving an Nvidia executive, and The Wall Street Journal said the board was preparing to remove him.

BeInCrypto noted that night that Huang could be out as CEO.

What Comes Next for Nvidia Shareholders?

Kress faces her first major test on Tuesday, November 17, when Nvidia reports third-quarter fiscal 2027 results as scheduled. Jones said the board expects no disruption.

"The Board has full confidence in Colette and the leadership team, and we expect the company's operations, customer commitments and product roadmap to continue without interruption."

House Republicans on the China Select Committee have also requested a closed-door briefing from Huang on November 18. Investors now face a question Nvidia has never had to answer: what the stock does without its founder.