To The Moon

Is Jensen Huang Out Yet ?

As of Thu, 12 Nov 2026 Asia time, there is still no confirmation that $NVIDIA(NVDA)$ CEO Jensen Huang’s fall from grace over his extra-marital affair will result in his ultimate ouster from the company he built.

However, NVDA’s board is reportedly preparing to decide his future.

Reports from major media companies - The Wall Street Journal, Reuters, and Bloomberg confirmed that NVDA’s board of directors (BOD) is actively preparing to remove its 63-year-old co-founder and longtime CEO.

At the same time, the BOD have already retained an outside executive search firm to identify his successor.

The latest New York Times (NYT) report of a second relationship with a direct-report executive materially raises the governance pressure on him. (see above)

US Market Reaction.

US market has already begun pricing (i) leadership, (ii) national-security, and (iii) regulatory risk impact on the company.

As of Wed, 11 Nov 2026, NVDA has actually risen by +2.92% (or $4.93), closing the day at $173.73.

Post market close, it turned & fell by -8.61% (or $14.95) after hours to $158.78. (see below)

What had begun in late October 2026, as a geopolitical counterintelligence story has spiraled into a textbook corporate governance implosion.

It has already erased roughly $1.7 trillion in market capitalization from NVDA's 6 Oct 2026’s $239.24 peak and leaving the undisputed architect of AI boom, fighting for his professional survival just days before Q3 2026 earnings report.

Allegation to Confession.

The unraveling of Huang’s 3-decade reign began in late October 2026, when NYT published an explosive report revealing that US intelligence agencies had conducted extensive surveillance on Alice Huang, a former executive and CEO of Singapore-based cloud service provider Megaspeed.

Immediate Denial.

The controversy originated with US officials reportedly suspected Alice Huang, was gathering information for Chinese intelligence while authorities investigated whether Megaspeed helped divert advanced NVDA AI chips to China, in breach of US export controls.

On 08 Nov 2026, NVDA BOD said it would investigate whether Huang had been the target of a “foreign intelligence” effort.

It was only then that Huang admitted (via an employee memo) that he had been unfaithful to his wife, apologized, and said he would cooperate with the inquiry.

On the same “confession” day, NVDA’s BOD announced an independent investigation overseen by external counsel (Wachtell, Lipton, Rosen & Katz) to determine whether Huang had been targeted by a foreign intelligence operation.

At that moment, the board stood by him, stating it had "no reason to believe" national security or trade secrets were compromised.

Even Trump publicly defended Huang as an "honorable man" who claimed he had no idea Alice Huang was an alleged spy.

It’s a joke that Trump spoke out for Jensen when he is still embroiling in his own Stormy Daniels cover up money scandal.

At that point; NVDA’s BOD said it had no reason to believe national security or company secrets had been compromised, while confirming the board would examine all available information.

The Chinese Push-back.

On Mon, 09 Nov 2026 - China's Foreign Ministry dismissed the spying allegations, saying they amount to a smear campaign.

China further denied that it was engaged in an attempt to ensnare NVDA's CEO.

According to China’s Ministry of Foreign Affairs spokesperson Guo Jiakun said during a routine briefing on Mon, 09 Nov 2026:

• The so-called Chinese spy allegation is unsubstantiated. It is nothing but smears against China.

The “Serious-ness” of It All.

The situation escalated from a personal scandal into a corporate-governance crisis because the alleged relationship intersected with (a) US export controls, (b) China policy, and (c) NVDA’s role as the leading supplier of advanced AI chips.

The board’s hiring of Wachtell, Lipton, Rosen & Katz to help lead an independent board investigation, while Huang has been called to testify before 3 US House committees.

Huang’s confession is admittance of infidelity and not admission of espionage or illegal conduct.

The distinction matters - the board’s stated concern is whether he was targeted by a foreign-intelligence effort, not a proven compromise of NVDA’s technology or secrets.

Collateral Damage.

While NVDA’s underlying silicon demand remained robust, Huang’s personal misconduct introduced severe structural, legal, and valuation risks that the market punished ruthlessly:

Market Cap Wipeout:

• For years, NVDA traded at a steep valuation premium due to institutional faith in Huang’s singular vision and execution.

• Between 6 Oct 2026’s intraday high of $243.37 and November 2026’s 2nd week, NVDA plunged nearly -29%, wiping out roughly $1.7 trillion in market value.

• This enabled $Microsoft(MSFT)$ to briefly overtake NVDA in market capitalization.

Washington & Regulatory Blowback:

• Even if Huang passed no classified technical blueprints to Alice Huang, an undisclosed romantic entanglement with a suspected foreign intelligence operative tied to an export-control probe handed ammunition to skeptics in US Congress.

• Top Republican lawmakers have demanded congressional briefings, threatening tighter export restrictions and heightened scrutiny over NVDA's entire Asian distribution network.

Shareholder Litigation:

• By Mon, 9 Nov 2026 a shareholder class-action lawsuit was filed in California, accusing NVDA and Huang of misleading investors by initially framing his relationship with Alice Huang as "routine business meetings" while concealing material national-security and governance risks.

The Kimberly Powell Affair

Before the dust could settle on the Alice Huang counterintelligence probe, NYT dropped a 2nd, more fatal bombshell on Wed, 11 Nov 2026.

Citing 5 former and current company insiders, the Times revealed that Huang had engaged in a separate extramarital affair with Kimberly Powell, NVDA’s 48-year-old Vice President of Healthcare, an executive who reports directly to Huang.

Key Revelations & Cover-Up Allegations:

• Both Huang and Powell are married to other people.

• According to witnesses cited by the Times, the 2 were spotted being intimate at a hotel during NVDA's flagship GTC developer conference in San Jose in March 2026.

• Huang’s personal security detail allegedly intervened when a bystander filmed the pair, separating the witness and offering them a nondisclosure agreement (NDA).

• When reached by phone by Times reporters on Wednesday, Huang abruptly stated, "I don't think you should be talking to me.

Why The Powell Affair Seals His Fate.

• The Alice Huang affair has been framed (by defenders) as a personal lapse where the CEO was an unwitting target of foreign espionage.

• However, a relationship with a direct subordinate is a textbook violation of corporate governance, fiduciary duty, and workplace code-of-conduct policies.

• The alleged use of company-funded security personnel to suppress evidence via NDAs implicates corporate resources.

For an independent board already facing shareholder lawsuits and FBI inquiries, defending a CEO entangled in two overlapping scandals, where one involved national security and the other involved internal workplace misconduct, became untenable.

Prediction markets eg. Polymarket immediately priced the odds of Huang's exit by year-end at 88% probability.

Has Nvidia “fallen”?

NVDA has not fallen from an operational sense.

NVDA remains a roughly $4.19 trillion company by market cap. Analysts polled by CNBC said NVDA’s business would continue operating even if Huang had to step down.

That said, NVDA has suffered a sharp confidence shock. Reports indicate NVDA lost about -$600 billion in market value, the week after the board announced its investigation.

More importantly, the correct framing is therefore a leadership-credibility & geopolitical-risk repricing, not evidence that NVDA’s AI-chip franchise has collapsed.

The company’s (i) demand position, (ii) product roadmap, (iii) customer base, and (iv) cash generation remain the fundamental support beneath the share price.

What’s next ?

It is confirmed - Jensen Huang has stepped down as NVDA’s CEO with immediate effect. In the interim, CFO Colette Kress will assume the role.

The market now faces a confirmed leadership transition rather than speculation about one.

For the next few trading sessions, expect heavy volume and sharp swings as investors assess Kress’s authority, Huang’s remaining board role, and the ongoing investigation.

Eventually, a recovery above $170 would suggest investors view the transition as orderly, while sustained trading below $160 would signal a deeper leadership & strategy overhang.

Now, it depends whether NVDA quickly clarifies Kress’s mandate, Huang’s board status, and the plan to appoint a permanent CEO.

Kress is a credible interim leader after more than a decade as CFO, but Huang had not anointed a successor, making the leadership vacuum a central risk.

Names Thrown Around.

• Internal promotion includes Ian Buck because of his role in creating CUDA and leading NVDA’s hyperscale business.

• External candidates, include $ARM Holdings(ARM)$ CEO Rene Haas, while the board had reportedly engaged an outside firm to identify potential replacements.

If NVDA management presents an orderly transition, with Kress clearly empowered and a credible succession path, NVDA could stabilize and attempt to reclaim the $160–$170 area.

Nvidia remains a roughly $4.19 trillion company (a monolith), that could operate without Huang, although his departure removes an important strategic and investor-confidence anchor.

If transition remains vague or the CEO search drags on, then selling could persists.

Immediate Impact.

Bernstein & Oppenheimer downgraded NVDA, while $Citigroup(C)$ cut its price target, citing concern that the leadership change creates an overhang on strategy, product vision, customer relationships, and investor confidence.

IF new evidence emerges that confidential information, export-controlled technology, or board material was exposed, the selloff could deepen and NVDA could test levels below $158.78.

NVDA has said it has no reason to believe national security or company secrets were compromised, but the independent investigation remains ongoing.

The key variables are Kress’s actual authority, Huang’s board status, investigation findings, the succession timeline, and Washington’s response on export controls.

Huang’s departure is confirmed, but NVDA must now prove it can execute without him.

Kress provides a bridge, while the market will judge NVDA on :

• Speed of succession.

• Scope of investigation.

• Ability to reassure customers and policymakers.

Expect continued volatility into next week or even till end November 2026.

A credible transition plan could limit downside, while new adverse disclosures or a prolonged leadership vacuum could drive further selling.

Well, news just came in of yet another alleged affair, with yet another NVDA employee. (see below)

Any remanants of integrity left of Jensen has diminished further. His dalliance with staff, reminds me of another rich man, CEO Musk who even went on to have illegitimate children with the staffer.

It is a wise & strategic move for Jensen Huang to step down “voluntarily” under duress circumstances and minimize further damage to an otherwise leading edge AI company. Agree ?

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• Do you think Jensen Huang’s resignation removes leadership uncertainty but leaves NVDA exposed to a prolonged succession search and unresolved security scrutiny?

• Do you think impending Q3 earnings report due Tue, 17 Nov 2026 will be the stabilizer ?

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