Nvidia loses over $430 billion in market value amid investigation into CEO's relationship

Investors have seen more than $430 billion erased from Nvidia's market capitalization in two days as regulators examine a relationship between chief executive Jensen Huang and Alice Huang, a Chinese businesswoman. The Information reported that the partnership may have facilitated shipments of at least $7.5 billion in Nvidia chips to Chinese firms, prompting scrutiny of the company's governance and export-control practices.

Alice Huang held an executive role at Megaspeed, a Singapore-registered firm under investigation by U.S. authorities for possible involvement in moving Nvidia chips from Southeast Asia to China. Nvidia's shares closed at $168.89 on Tuesday, down 5.5 percent, after a 4.3 percent decline on Monday, leaving the company valued at about $4.1 trillion.

“The investment debate is whether this remains company-specific or triggers restrictions and disruption across AI infrastructure,” Bank of America analysts wrote, adding that allegations should not be equated with proven business damage.

Nvidia's board has started an internal review, and the FBI is examining whether Huang was targeted by a foreign intelligence operation. A lawsuit filed in federal court in San Jose alleges that Nvidia and its co-founder misled investors about potential national-security risks linked to the relationship.

The complaint references a New York Times article from October 2025 that questioned the nature of Huang's relationship with Alice Huang and Megaspeed's role. President Trump was briefed aboard Air Force One in May, according to a report, but he later said he had not heard about the matter.