Not financial advice. Education only.
This is my personal opinion and how I'm approaching my own money, shared for educational purposes. It isn't a recommendation to buy, sell, or hold anything, and it isn't tailored to you. I may hold Nvidia. The allegations discussed here are unproven, and the stock could fall much further.
Written on November 9, 2026, during the trading day. The price (about $177.90) and the chart's last candle are intraday, not a close, so they will have moved. Other figures are from the sources linked below. This is a fast-moving story, so verify current details.
Quick answer
- Nvidia's board opened an independent investigation after CEO Jensen Huang admitted being unfaithful to his wife and news reports raised a foreign-intelligence angle. Nothing there is proven, and the board says it has no reason to believe security or secrets were compromised.
- NVDA is about 25.6% below its October 6 peak. Roughly 24 of those points came before the news, in the AI-led sell-off.
- My view: the business hasn't changed, the stock trades near 15 times forward earnings, and it's already erased its whole July–October rally. I'm buying.
- Sizing: I cap Nvidia at 7.5% of my portfolio's current value. As a new investor I'd buy about 5%, in stages.
Nvidia was already having a terrible few weeks when the news about its CEO broke over the weekend. The stock is now roughly a quarter below its peak, and with earnings on November 17, the stakes are high. I want to do two things in this post: lay out exactly what's confirmed and what's only reported, and explain why I think the business is intact and why I'm buying anyway, with a position limit.
What Has Actually Happened With Jensen Huang and Nvidia?
This story involves serious allegations about real people, so I'm keeping strictly to what's confirmed and labeling what isn't.
| Status | What it is | Source |
|---|---|---|
| Confirmed | Huang told employees on Nov 8 that he was unfaithful to his wife, took responsibility, and apologized. His message names no one and doesn't mention foreign intelligence. | Nvidia |
| Confirmed | The board opened an independent investigation, run by independent directors with outside counsel, "in light of recent reporting" that Huang was the target of a foreign intelligence effort. It says it has no reason to believe national security or Nvidia secrets were compromised, and it has confidence in Huang. Huang says he'll cooperate. | Nvidia board |
| Confirmed | Republican lawmakers asked Huang to testify to Congress on Nov 18, and Senator Elizabeth Warren has demanded answers. No criminal charges have been reported. | Al Jazeera |
| Reported, unverified | The New York Times, citing US intelligence officials, reported that the woman was recruited by Beijing to gather information and possibly influence Nvidia's China chip sales. She is linked to a company, Megaspeed, that US authorities have investigated since 2024 over suspicions it helped China obtain restricted chips. | Al Jazeera, citing the NYT |
| Disputed | China's foreign ministry called the "so-called Chinese spy narrative" unsubstantiated. How much information, if any, was shared, and how much Huang knew, remain unclear. | Al Jazeera |
Two points I want to be clear about. Huang has not been accused of spying; the board describes him as a target. And I'm not naming the woman, because she hasn't been charged with anything and the allegations about her are unverified.
How Far Has Nvidia Stock Fallen?
Here is the last two months of NVDA. The fall started well before the news about Huang:
So the stock is about 25.6% below its peak. The important detail is the order of events: by the November 5 close, NVDA was already down about 24%, in the AI-spending sell-off I covered in my Nasdaq sell-off post, when Nvidia fell 9.3% in a single day. The CEO news added another 4–6% on Monday morning. The stock is also now below its late-July low close of about $190, which means it has given back the whole run it made into the October peak (about 26%).
Why I Think This Is a Correction, Not a Broken Company
My view is that this is mostly a price correction after a big run, with a new layer of headline risk on top, and not a deterioration in the business. Here is what supports that:
| Signal | Reading |
|---|---|
| Forward / trailing P/E | ~14.7 / ~22.5 |
| PEG ratio | ~0.31 |
| Profit margin | ~64% |
| Free cash flow (trailing 12 months) | ~$127B |
| Data center revenue, Q1 fiscal 2027 | $75.2B (+92% year over year) |
| Q3 revenue guidance | ~$108B (±2%), gross margin ~74% |
| Analyst average target | ~$327 (61 analysts, Strong Buy) |
Sources: StockAnalysisfor valuation and cash flow, Nvidia's Q1 fiscal 2027 release (SEC)for data center revenue, and Investing.comfor guidance and the earnings date. Price targets are a snapshot, not a promise.
None of those numbers changed because of the news about Huang. A company with those margins and cash flow trading near 15 times forward earnings looks reasonable to me, and I'd say the same thing I said in the broader sell-off: the valuation worry that hung over AI stocks for two years has eased a lot. The business is also still far ahead of its rivals.
On "monopoly": I'd call Nvidia dominant, not a monopoly. Estimates put it at roughly 70–85% of AI accelerator revenue in 2026, with AMD around 5–8% and the cloud giants' custom chips growing fastest. Those figures aren't audited, and every source shows Nvidia's share slipping from a peak of about 87–92%. It's a commanding position, but not an untouchable one.
What's Different This Time: The Risks I'm Not Ignoring
- Key-person and governance risk. Huang is the face and architect of the company. The board says it backs him, and one well-known analyst dismissed talk of replacing him as comedy, but the investigation's findings are unknown and could change that.
- Two big events in two days. Nvidia reports earnings after the close on November 17, and lawmakers have asked Huang to testify on November 18. Either could move the stock a lot.
- Export-control and political risk. The reporting connects the story to Megaspeed, which US authorities have investigated since 2024. Analysts quoted by Al Jazeera suggest it could increase pressure to tighten limits on chip shipments, which would matter for Nvidia's China business.
- The AI-spending question hasn't gone away. The sell-off that started all this was about whether the huge AI investment pays off. I covered that in the Alphabet post.
- A falling stock can keep falling. Momentum is negative, and headline-driven drops don't always stop at a tidy level.
I'm Buying Nvidia: How Much, and Why That Number
I'm buying Nvidia and I'm keeping it to a maximum of 7.5% of my overall portfolio's current value. If I were a new investor starting today, I'd buy about 5% of my portfolio's current value.
| Situation | How I'd approach it |
|---|---|
| Me, already building a position | Keep adding, but never above 7.5% of my portfolio's current value |
| A new investor | About 5% of the portfolio's current value, bought in stages |
| Hard ceiling for any single stock | 10% |
To be transparent about the numbers: 7.5% is more than the 5% I usually allow for a top pick, and well above the 3–4% I use for riskier stocks (see my sizing tiers). It's a deliberate stretch for a business I have this much conviction in, and it still sits under my 10% ceiling. The downside math is why I'm comfortable: if Nvidia fell another 50%, a 7.5% position would cost me about 3.75% of the whole portfolio, and a 5% position about 2.5%.
The "in stages" part matters more than usual here. With earnings on November 17 and a possible hearing on November 18, I'd rather not assume today's price is the best I'll get. If you'd rather not time it at all, steady buying with the DCA calculator is a fair alternative. I explain my broader approach in AI stocks, diversification and building conviction.
What Would Change My Mind?
- The board's investigation finding that national security or company secrets were actually compromised.
- Huang leaving, or serious leadership turmoil, not just headlines.
- New export rules that cut materially into Nvidia's revenue.
- A weak earnings report or guidance cut, or AI customers pulling back on spending.
Decide your levels before the headlines hit.
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Disclosure: not financial advice
This article is my personal opinion, for educational purposes only. It is not financial, investment, legal, or tax advice and not a recommendation to buy, sell, or hold any security. Statements about what I'm doing describe my own situation and are not instructions. I may hold or trade the securities mentioned. The allegations described are unproven, no one has been charged, and details may change as the investigation proceeds. Prices are intraday, data comes from third-party sources and may be incomplete or delayed, and market share figures are unaudited estimates. The stock may fall much further. Investments can lose value. Do your own research and consider speaking with a licensed financial advisor.
FAQ
Is this financial advice?
No. It's my personal opinion, for education only, and it says nothing about what's right for your portfolio.
What has Jensen Huang admitted?
In a message to Nvidia employees on November 8, 2026, Huang said he was unfaithful to his wife and took responsibility. His message does not name anyone or describe foreign intelligence involvement. Nvidia's board announced an independent investigation the same day.
Has Jensen Huang been accused of spying?
No. Nvidia's board describes Huang as the target of a foreign intelligence effort, and news reports citing US intelligence officials say the woman involved was recruited by Beijing. Those reports are unverified, China calls them unsubstantiated, no charges have been reported, and the board says it has no reason to believe national security or Nvidia's secrets were compromised.
How far has Nvidia stock fallen?
From its October 6, 2026 peak close of $239.24, Nvidia was down about 24% by the November 5 close, before the CEO news, and about 26% on the morning of November 9 after it, trading near $178. That has erased its July to October rally.
Is Nvidia a monopoly?
It is dominant but not a monopoly. Estimates put Nvidia at roughly 70% to 85% of AI accelerator revenue in 2026, down from a peak of around 87% to 92%, with AMD at about 5% to 8% and custom chips from big cloud companies growing fastest. These estimates are unaudited.
When does Nvidia report earnings?
Nvidia reports its fiscal third quarter after the market closes on Tuesday, November 17, 2026. Some Republican lawmakers have also asked Huang to testify before Congress on November 18.
How much of a portfolio should be in Nvidia?
There's no universal answer. Personally I'm buying Nvidia and capping it at 7.5% of my portfolio's current value, under my 10% limit for any single stock. If I were a new investor I'd buy about 5% of my portfolio's current value, in stages.