Amid the Jensen Huang departure turmoil, Nvidia's closing market value fell below $4 trillion for the first time since July 2025
Nvidia closes below $4T market cap for first time since July 2025 in Huang fallout
Nvidia CEO Jensen Huang resigned on Thursday after media exposure of at least two extramarital affairs; the company's stock fell sharply during Thursday trading and closed down more than 4%, with closing market value falling below $4 trillion for the first time since July 2025. The New York Times reported that Jensen Huang had a romantic relationship with company healthcare vice president Kimberly Powell, and Reuters also reported an extramarital affair with another unnamed Nvidia employee; the board had previously investigated his relationship with a businesswoman whom intelligence agencies called a Chinese spy. The stock rose 1.8% in premarket trading on Friday. Several Wall Street analysts had previously told CNBC that Jensen Huang's departure could cost the company as much as 20% of its market value, while the stock had already fallen more than 20% over the past month. Stephane Houri, head of equity research at ODDO BHF, said Nvidia's success is largely built around Jensen Huang, and the AI industry's architecture also depends on his vision and expertise.
Analysts had previously estimated that Jensen Huang's departure could shrink Nvidia's market value by as much as 20%, which can be used to understand how the market priced his personal influence.