Nvidia Falls 9% After Report of Possible Huang Ouster

Nvidia shares fell 9% in after-hours trading on November 11 after The Wall Street Journal reported that the company’s board was preparing to remove Chief Executive Jensen Huang. Nvidia’s board had not confirmed a plan to oust him, and the report’s account of possible board action traces to that single newspaper report.

The reported leadership uncertainty came amid allegations about Huang’s personal conduct. A separate account said Nvidia had opened an investigation into reports that a woman described by U.S. officials as a Chinese spy had targeted him. Nvidia’s board said it had no reason to believe national security or company secrets had been compromised. The allegations have not been proven, according to one report.

Trading in other technology stocks moved unevenly. Advanced Micro Devices and Broadcom each rose more than 3% after hours as Nvidia fell, while Alphabet gained 0.3%. Analysts said investors may expect rival chip suppliers to win business if customers reconsider their reliance on Nvidia. Those market moves do not establish that customers have shifted orders or that competitors have gained contracts.

AMD competes with Nvidia in AI graphics processors, while Broadcom...