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Nvidia on track to lose more than $700 billion in value as Jensen Huang resigns
The chipmaker could shed more than $600 billion as investors weigh leadership risk and national-security concerns tied to Huang’s reported affairs, analysts said.
Nvidia faces unprecedented turbulence after co-founder and CEO Jensen Huang reportedly had a second extramarital affair with an employee. Huang had previously acknowledged being "unfaithful" to his wife, Lori Huang, with a woman intelligence officials believe was a spy for China.
Jensen and Lori Huang jointly own about 800 million Nvidia shares worth roughly $135 billion through a complex web of trusts and LLCs created for tax and estate planning purposes, according to SEC filings.
Lori Huang serves as president of the Jen-Hsun and Lori Huang Foundation, which reported $9 billion in net assets in 2024. She is co-trustee of the trusts holding most of their Nvidia stake.
The CEO's sudden exit combined with affair revelations creates uncertainty for Nvidia's financial future, yet the shared ownership structure makes it difficult for either spouse to quickly liquidate their massive stake.
Experts note the irrevocable trust structure acts as a stabilizing force, as these separate entities are theoretically protected from creditors or divorcing spouses. This arrangement potentially prevents large-scale share liquidation despite the resignation.