Nvidia shares fall 10% as CEO resigns amid scandal

infomoney.com.br (Portuguese) —

Nvidia shares fell over 10% in pre-market trading Thursday after CEO Jensen Huang resigned amid a scandal involving an alleged affair with a Chinese businesswoman accused of being a spy. CFO Colette Kress will serve as interim CEO. Huang, a co-founder and Nvidia's fourth-largest investor with a 3.61% stake, also left the board. The resignation follows an internal investigation, an FBI probe, and calls from Washington for him to step down, raising concerns about the company's China chip ties. Analysts had already turned pessimistic, with Baird downgrading Nvidia to "neutral" and Morgan Stanley removing it from its "Top Pick" list. Shares have dropped over 25% since last month, amid broader tech selloffs following the Democrats' midterm election victory.


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