Nvidia shares fall after Jensen Huang resigns as chief executive

what happened

Nvidia shares came under heavy selling pressure on Thursday after the company said Chief Executive Jensen Huang had stepped down with immediate effect. The stock dropped about 4.5% as investors weighed the sudden change in leadership. According to Seeking Alpha, the move extended Nvidia's recent slide and raised questions about the chipmaker's direction.

Seeking Alpha analysts remain divided on the outlook. Mike Zaccardi reiterated a Buy rating, pointing to a forward earnings multiple of 14 times and strong revenue and profit growth forecasts through fiscal 2028. James Foord kept a Strong Buy rating, arguing that Nvidia's AI roadmap and large order book are already in place and that the company depends less on Huang than the market fears. Agar Capital also holds a Strong Buy rating, noting that the shares have fallen roughly 35% from their October highs.

why it matters

Nvidia is one of the largest suppliers of AI chips, so a leadership change at the company affects the semiconductor sector and the Nasdaq more broadly. Investors will watch how the company explains its succession plans and strategy, and how the shares react to any further statements.

market impact

Nvidia and AI chip stocks: the leadership change adds uncertainty and pressures the shares.

• ▼Nvidia shares (NVDA) pressure down — the leadership change adds uncertainty and triggers selling in the stock

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