Nvidia shares experienced a significant downturn on Wednesday, November 11, 2026, following a report from the New York Times that CEO Jensen Huang engaged in a second extramarital affair with a subordinate. The report identifies the individual as Kimberly Powell, Nvidia’s vice president of health care. According to the publication, the pair was observed in an affectionate manner at a hotel during the company’s annual developer conference in San Jose this past March. Sources indicate that a bystander recorded the interaction, after which Huang’s security detail allegedly attempted to secure a nondisclosure agreement from the individual.
This development follows an October 29 report alleging that Huang maintained a relationship with a suspected Chinese intelligence asset. These dual controversies have placed immense pressure on the leadership of the chip manufacturing giant. Nvidia has confirmed that Huang admitted to marital infidelity in a company-wide email, and the firm has since convened an independent panel to oversee an internal investigation, utilizing the law firm Wachtell, Lipton, Rosen & Katz to manage the probe.
Market reaction was swift, with Nvidia’s stock dropping nearly 8% in after-hours trading as of 6 p.m. ET on November 11. The company has reportedly seen approximately $1 trillion in market capitalization evaporate since the initial report regarding the suspected spy was released. Prediction markets, such as Kalshi, reflect a sharp increase in the perceived probability of Huang’s departure from the company, with some estimates suggesting an exit could occur as early as the weekend of November 14–15, 2026.
Peter Jaworski, a business ethics professor at Georgetown University, stated that the nature of the relationship with a direct report poses a significant threat to Huang’s tenure. "You can't have a relationship like this with a direct report," Jaworski noted, suggesting that the board may need to place the CEO on administrative leave while the investigations continue. Nvidia has declined to issue a formal statement regarding the most recent allegations, and Powell has not responded to requests for comment. As the architect of the company’s central role in the global AI revolution, Huang currently lacks a clear succession plan, leading to heightened volatility for the organization's future operations. Reporting via Axios.
