Nvidia sheds $1 trillion in a month; Huang slips to 13th on Forbes rich list

Nvidia CEO Jensen Huang resigned on Thursday after reports came out on multiple affairs.

Nvidia shares plunged as much as 14 per cent during Thursday's Wall Street trading session after the shock resignation of chief executive Jensen Huang, extending a weeks-long selloff in the chipmaker amid concerns over the company's leadership and the future of the artificial intelligence boom. The stock recovered some of its losses during the session, eventually closing 4.3 per cent lower at $166.19. The latest decline has dealt another blow to Nvidia's market valuation, with the company shedding nearly $500 billion in market value since the close of trading last week. Its shares are now around 30% below the record high touched on October 6, wiping out more than $1 trillion in market capitalisation over the past month. Nvidia's market value slipped below $4 trillion, a level it had not breached since July 2025, reported Reuters. Huang has lost his spot in world's top 10 richest people. The selloff marks a sharp reversal for a company that became the world's most valuable publicly listed business on the back of the global AI boom. Nvidia's graphics processing units (GPUs), which power artificial intelligence systems and data centres, made it a central player in the technology industry and one of Wall Street's biggest market drivers. Its shares had surged more than 1,700% over four years before the recent correction, while its market capitalisation had briefly crossed $5 trillion. Huang's departure has also taken a toll on his personal fortune. The Nvidia co-founder, who had been among the world's 10 richest people, has seen his wealth fall sharply alongside the company's stock. According to Forbes' Real-Time Billionaires rankings, he slipped two places from eighth to tenth earlier this week. His estimated fortune subsequently fell further, pushing him out of the top 10 to 13th position. Also read: Trump unsure woman linked to Jensen Huang was a spy; report alleges 3rd affair of ex-Nvidia CEO The fallout extended beyond Nvidia to companies closely linked to its AI ecosystem. Nvidia-backed cloud computing firm CoreWeave fell 8.1 per cent, while Nebius plunged 18 per cent after cutting its 2026 revenue forecast amid delays in adding third-party capacity. Super Micro Computer also dropped 12%. However, rival chipmakers Advanced Micro Devices and Broadcom gained more than 4 per cent each, as investors assessed whether Nvidia's leadership turmoil could create opportunities for competitors.

Nvidia is also due to report its quarterly results next week, with investors watching its revenue growth and outlook. The turbulence in Nvidia also played out against a volatile session on Wall Street, although the broader market managed to recover most of its early losses. The S&P 500 fell 0.4% to 7,592.40, while the Dow Jones Industrial Average declined 189.40 points, or 0.4%, to 52,297.09. The Nasdaq Composite also shed 0.4% to close at 25,366.09, after falling as much as 1.6% earlier in the session. Rising oil prices following US President Donald Trump's remarks on Iran added to market pressure, with Brent crude climbing 3.3% to $95.82 a barrel.