Nvidia sinks 8% after hours as board weighs CEO’s fate

Nvidia shares fell 7.86% in after-hours trading on Wednesday to $160.07, after rising 2.87% during the regular session to close at $173.73. Mettis Global reported that the company’s board is considering whether to remove chief executive Jensen Huang, following reports about alleged relationships and a possible connection to a Chinese intelligence service.

The board has launched an independent inquiry into the spying allegations and hired Wachtell, Lipton, Rosen & Katz to conduct it. The report also said Huang directly holds about 70mn shares, while trusts co-owned with his wife hold about 800mn shares; Nvidia’s healthcare business is small compared with its AI systems and GPUs. The stock was already down 7% for the week amid concerns over AI investment and possible obstacles to data-centre construction.