Huang’s Resignation Shakes NVIDIA Leadership, Shares Fall 14% at Thursday’s Open

Key Facts

Jensen Huang resigned as NVIDIA’s chief executive on Thursday, and the company appointed CFO Colette Kress as interim CEO, the Associated Press reported. NVIDIA shares fell 14% at the open before narrowing their losses to 4.2% by midmorning, as the Nasdaq turned positive at that point. The resignation came as the company faced pressure related to an independent investigation launched by its board and investor concerns about Huang’s continued leadership. His departure puts leadership succession at the forefront of concerns surrounding the AI infrastructure market, which includes server suppliers such as Super Micro. The reported decline of more than 5% in Super Micro shares during trading could not be verified, while EL7 data showed the stock closed at $30.43 on Wednesday.

Kress took the role on an interim basis while continuing in her finance position. She joined the California chipmaker in 2013 and has since served as executive vice president and CFO, according to AP. That places executive and financial responsibilities in the same hands during the transition. NVIDIA said its board began an independent investigation on November 8 into reports that a foreign intelligence service had targeted Huang. The board said it “has no reason to believe there has been a national security breach or a breach of NVIDIA secrets.” The investigation provides direct context for the leadership change as markets watch how it affects the company’s business and relationships across the AI ecosystem.

The share-price moves indicate that pressure on NVIDIA predated news of the resignation: The stock hit a record high in the previous month, then fell more than 30% from that level, according to AP. The news agency linked the decline to earlier concerns about enthusiasm surrounding AI and to concerns that emerged this week about Huang remaining at the company. In Thursday’s session, the S&P 500 fell 0.4% and the Nasdaq declined 0.7%, with technology stocks the biggest drag on the broader index. Super Micro shares also fell 8.3% in morning trading to $27.92, reversing much of their 9.5% gain in Wednesday’s session, according to Investing.com. NVIDIA closed at $173.73 in the previous session, while Super Micro closed at $30.43, according to EL7 data.

The significance of the change extends beyond NVIDIA’s share performance, given the company’s position in the AI hardware and server ecosystem, which includes suppliers such as Super Micro. AP quoted a Forrester analyst as saying the leadership transition “is a test for the AI industry,” and that continued pressure on the stock, financing relationships or ecosystem commitments could heighten concerns about the boom’s fragility. Conversely, the analyst linked a rapid stabilization of NVIDIA under new leadership to the AI infrastructure boom’s ability to demonstrate resilience. These assessments put investor reactions to the stock’s performance and the company’s commercial and financing ties among the indicators to watch during the transition. The company’s upcoming results remain an important milestone for markets assessing its business after the management change.

The investigation’s backdrop involving Supermicro continues. The Singaporean government identified the company as a server supplier, according to an AP report. The government said the company’s cooperation with the investigation had been limited, noting that it had sent repeated requests to the Justice Department and the FBI since September 2025. AP quoted Singapore as saying: “Despite these repeated requests, Singapore has so far received only limited information or assistance concerning the company.” This comes as investors watch for any effect of developments involving infrastructure suppliers on market confidence in the AI sector. The available evidence did not establish that this backdrop directly caused Super Micro’s share move in Thursday’s trading.

Lawmakers on the House Foreign Affairs Committee are seeking to interview Huang after making their initial request on November 5, according to AP. The news agency reported that Huang had expressed willingness to appear before lawmakers and that the committee could subpoena him if necessary. The interview remains connected to questions surrounding the investigation, though the report did not set a date. NVIDIA has scheduled its next financial milestone for November 17, when it will hold a conference to present results for the third quarter of its fiscal year 2027 at 2 p.m. Pacific time. The company said the results and Kress’s written commentary would be published about 1:20 p.m. Pacific time after the results announcement, making them the first announced financial milestone following the leadership transition.