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₹47,10,05,00,00,000 wiped out: How Jensen Huang’s ‘multiple affairs’ outside wedlock plunged Nvidia into crisis
Nvidia shares reportedly lost about $490-500 bn (Roughly 47 lakh cr) in market value over last few days, courtesy - co-founder Huang's alleged ‘affairs’.
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A rapid-fire series of personal revelations, part of which also became national security concerns, surrounding Nvidia co-founder Jensen Huang triggered a historic selloff in company's shares this week, reportedly wiping out roughly $490 billion to $500 billion (Roughly ₹4,710,050 crores or ₹47 lakh crore) in market capitalisation and culminating in Huang's abrupt resignation on Thursday morning amid allegations of multiple extramarital affairs.
What began over the weekend as a probe into his illicit relationship with Megaspeed executive Alice Huang, alleged to be a Chinese spy, escalated within four trading days into the exit of the 63-year-old executive who led the chipmaker for 33 years.
Here is how the Nvidia market wipeout unfolded
Sunday, November 8: The Admission and Board Probe
The crisis ignited over the weekend when Huang admitted in a letter to employees that he had been "unfaithful" to his wife, confirming an extramarital affair with Alice Huang (no relation), a former executive at Singapore-based data center operator Megaspeed International. The New York Times reported in October that Huang had a relationship a suspected Chinese spy, the same was reported by the Financial Times on November 6.
US intelligence officials reportedly circulated a memo this spring flagging suspicion that Alice Huang was recruited by China's Ministry of State Security to gather intelligence and help circumvent US chip export restrictions. In response, Nvidia's board announced an independent investigation into whether national security or proprietary secrets were compromised.
Monday, November 9 - Tuesday, November 10: A $430 billion 2-day slide
Investors reacted swiftly when US markets opened on Monday. Nvidia shares fell 4.3 per cent on Monday and dropped another 5.5 per cent on Tuesday to close at $168.47-a combined 9.6 per cent two-day slide that erased more than $430 billion in market value, according to CBS News and The Times.
Forbes had reported that personal fortune of Huang, who was still the Nvidia CEO, ₹69,520.82 crore) hit in the first half-hour of trading on Monday">took a $7.4 billion (Around ₹69,520.82 crore) hit in the first half-hour of trading on Monday, November 9, as the firm's shares slid amid a company investigation into his admission of an affair.
During the rout, President Donald Trump confirmed that the FBI was investigating the matter, though he described Huang as an "honourable man," while a shareholder filed a proposed class-action lawsuit in California alleging Nvidia misled investors about national security risks.
Microsoft overtook Nvidia as the world's second-most valuable company on Tuesday.
Wednesday, November 11: A brief relief rally meets a second scandal
Nvidia shares initially rebounded roughly three per cent to 4.5 per cent during Wednesday's regular trading session, buoyed by strong earnings from artificial intelligence cloud partner CoreWeave, closing at $173.73. However, sentiment reversed sharply after the closing bell following two major reports:
• The New York Times revealed that Huang had engaged in a second extramarital relationship with a direct subordinate, Nvidia's vice president of healthcare, Kimberly Powell.
• The Wall Street Journal reported that Nvidia's board of directors was preparing to oust Huang and would meet imminently to decide his future.
Following those reports, Nvidia shares tumbled nearly eight per cent in after-hours trading to roughly $160, according to Yahoo Finance.
Thursday, November 12: Huang resigns, market cap tests $4 trillion ( ₹37.6 lakh crore)
Ahead of Thursday's opening bell, Nvidia officially announced that Jensen Huang had stepped down as president, CEO, and board member with immediate effect, naming longtime Chief Financial Officer Colette Kress as interim CEO and board member Harvey Jones as its first-ever independent chairman.
At the market open, Nvidia shares plunged as much as 14.3 per cent to an intraday low of $148.80-temporarily erasing up to $601 billion in single-day value and pushing the company's valuation below $4 trillion for the first time since mid-2025, per The Straits Times and Mint.
The stock pared much of its losses by the closing bell to finish down 4.3 per cent at $166.19, leaving Nvidia with a market capitalization of roughly $4.01 trillion-a cumulative wipeout of approximately $490 billion from the previous Friday's close of $4.498 trillion, according to Yahoo Finance and Forbes.
Following a drop in Nvidia stock, Huang's net worth has fallen to approximately $144.7 billion, placing him around at the 13th spot on Forbes' billionaire's list.
Forbes, as on Friday 1 pm, listed Huang as the biggest loser in terms of daily net worth changes, with a drop of 4.25 per cent in personal fortune.
