Nvidia shares came under heavy selling pressure in Thursday’s trade, falling 14.3% to $148.80 after the world’s most valuable chipmaker announced a sudden leadership shake-up, with Jensen Huang stepping down as President and Chief Executive Officer (CEO) with immediate effect.
The company announced that its board of directors had accepted Huang’s resignation, ending his 33-year tenure at the helm of the chipmaker. Colette Kress, Nvidia’s long-serving Chief Financial Officer (CFO), has been appointed interim CEO while the board begins its search for a permanent successor.
The leadership transition has raised concerns among investors about the company’s future direction without Huang, who has been instrumental in transforming Nvidia from a graphics chipmaker into a global powerhouse in artificial intelligence (AI) and accelerated computing. Nvidia shares had already plunged nearly 9% in after-hours trading following reports that the board was considering Huang’s removal, with the stock extending its losses amid the leadership uncertainty.
Kress, who joined Nvidia in September 2013, will continue to serve as CFO alongside her interim CEO responsibilities until a permanent successor is appointed. The board said it would consider both internal and external candidates for the position.
Meanwhile, Harvey C. Jones, a veteran technology executive and former CEO and executive chairman of Synopsys, has been appointed as Nvidia’s first-ever chairman of the board.
In a statement, Jones expressed confidence in Kress and the existing leadership team, saying they would continue executing the company’s strategy and advancing its technology roadmap. He also sought to reassure investors that the transition would not disrupt Nvidia’s operations, customer commitments or product roadmap.
Kress also pledged to build on the foundation established by Huang and maintain the company’s focus on accelerated computing and AI opportunities.
The leadership shake-up comes at a crucial time for Nvidia, which is scheduled to report its third-quarter fiscal 2027 financial results on November 17. Investors will now be watching closely for further clarity on the succession process and whether the transition could have any bearing on the company’s long-term strategy and execution.
