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Explained: Why Nvidia Shares Dropped 4% in Overnight Trade and What Analysts Warn Can Trigger a Bloodbath?
The board opened an investigation after the stock fell about 4% in overnight trading, adding to investor concerns over governance and reputational risk.
Nvidia's board of directors launched an investigation into CEO Jensen Huang following concerns about his reported relationship with Alice Huang, a figure linked to China.
A story published in The New York Times on October 9, 2025, linked the company to the People's Republic of China, prompting speculation about whether Jensen continued the relationship after the report.
Investigating whether the 63-year-old CEO compromised proprietary secrets or national security, Nvidia's board weighs his leadership against potential recklessness, though he reportedly denies sharing secrets.
President Donald Trump was reportedly briefed on the company's connection to Megaspeed, while Democrats on Capitol Hill have initiated bipartisan scrutiny regarding the firm's alleged foreign ties.
Jim Cramer advised against buying Nvidia stock on Monday, as ongoing investigations and news flow make the stock difficult to own during this period of leadership-driven volatility.
The company’s board opened an independent review after The New York Times and Financial Times reported that the CEO was targeted by a “foreign intelligence effort.”
On Sunday evening, Jensen Huang, CEO of chip giant Nvidia, admitted to cheating on his wife. Now the company is launching an investigation into whether the Nvidia CEO was the target of a Chinese spy.