Nvidia Faces Leadership Crisis as CEO Resigns Over Personal Scandal
Nvidia CEO Jensen Huang resigned Thursday following revelations of extramarital affairs, sending shares down 14% this week and adding fresh uncertainty to the AI-driven stock market rally. Huang’s departure comes as Nvidia, the world’s most valuable company with a $5 trillion peak market cap, faces investor worries about AI spending and a potential data center slowdown. The stock is down about 12% this year, dragging major indexes. Nvidia’s revenue surged from $60 million growth in 2023 to an expected $409 billion this year, fueled by hyperscaler spending. Despite the leadership crisis, Morningstar analyst Brian Colello still forecasts high demand for Nvidia’s chips amid ongoing AI computing growth.