Nvidia stock plunges 4% after CEO Jensen Huang admits to affair with alleged Chinese spy

Nvidia stock plummeted more than 4% Monday after CEO Jensen Huang admitted to having an affair with an alleged Chinese spy – sparking fears the top exec could be ousted from the semiconductor giant known for making cutting-edge AI chips.

The stock closed down $7.97 at $178.67 a share. Other chip stocks, meanwhile, helped push the S&P 500 and Nasdaq higher as Nvidia’s rivals benefited from the scandal. Chipmakers Broadcom and AMD rose 9% and 13%, respectively.

Nvidia’s board launched an investigation after Huang on Sunday admitted to having an affair with Alice Huang – no relation – an executive at Megaspeed, a Singapore-based company that bought billions of dollars worth of chips from Nvidia. A secret, months-old State Department memo had found that she was allegedly recruited by China’s Ministry of State Security. 

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