Nvidia Investors and Staff Push Back After Jensen Huang's Exit

Nvidia lost about $573 billion in market value over the week ended November 13, and two well-known shareholders now want the board to slow its CEO search before it starts. The stock closed Friday at $162.85, down 2.01%, for a market capitalization of $3.93 trillion. After hours it slipped further, to $161.04 at 7:59 p.m. ET.

The trigger came on November 12. Nvidia disclosed in an 8-K filing that Jensen Huang resigned as president, CEO and director. CFO Colette Kress is serving as interim CEO, and the board has opened an independent review. Two separate efforts responded on Friday, and they want different things.

What do the funds want?

Altimeter Capital founder and CEO Brad Gerstner posted on X at 6:47 p.m. ET that a letter had gone to the board. He described it as setting out the minimum standards the board owes shareholders. The post drew about 732,000 views by roughly 1:10 a.m. ET on November 14.

Atreides Management managing partner and CIO Gavin Baker posted the same letter at 7:34 p.m. ET. The letter asks the board to skip a rushed permanent CEO pick and run a slow, measured process that keeps every option open, including Huang's return. It says major questions remain about the events behind his exit, says Kress and her team can lead in the meantime, and leaves the final decision to the board.

The letter limits itself to process. Reinstatement, a shareholder vote, new directors and a special meeting are all off the table. A separate letter threatening mass resignations circulated on X on Friday and was reported as fake.

How much stock stands behind the letter?

As of June 30, Altimeter held 9,413,589 Nvidia shares worth $1.88 billion, or 19.2% of a $9.83 billion portfolio. Atreides held 1,249,291 shares worth $250.0 million, about 1.7% of a $14.34 billion portfolio.

At Friday's close those positions would be worth about $1.53 billion and $203 million, roughly $1.74 billion combined — about 0.04% of Nvidia's shares. Neither fund had filed a third-quarter 13F as of early Saturday, ahead of the November 16 deadline. Their leverage comes less from the stake than from their public profile.

What does the petition ask for?

The "Stand with Jensen" open letter goes further. It asks the board to reinstate Huang while the independent investigation runs, or explain with evidence why not. It also seeks the inquiry's scope and timeline, a fair hearing and a timely public explanation.

At 1:07 a.m. ET Saturday, the petition carried 55,078 names, up from about 36,000 late Friday. Self-reported current Nvidia employees rose from about 2,993 to 3,574. Most signers come from outside the company:

• 30,524 shareholders
• 20,414 supporters
• 566 self-described former employees

Affiliations are self-reported, and the site says Nvidia and Huang have not endorsed it. Listed signers include Elon Musk, Replit CEO Amjad Masad, Baker, Epic Games CEO Tim Sweeney, and Y Combinator CEO Garry Tan.

Employee sentiment still carries weight, because Nvidia's value rests on engineers who can leave. An internal post urging the board to consider that sentiment drew more than 1,600 comments.

What has the board said?

No response from the board or Huang to either letter had appeared by early Saturday, and Nvidia did not respond to a request for comment. The board said Friday it is still selecting a search firm, has not formally engaged candidates, and considers speculation premature.

That pace already matches what the funds requested. Kress will likely lead the next quarterly report, expected November 17 after the close.

What do the fundamentals say ahead of earnings?

Fiscal second-quarter revenue was $96.221 billion, up 105.85%. Third-quarter guidance was $108.0 billion, plus or minus 2%. Kress has said fiscal 2028 growth of approximately 70% is limited by supply.

The stock has fallen 26.41% in a month, to about 33 times trailing earnings. Demand likely remains solid: Vera Rubin orders and supply commitments were set before Huang left, and signed purchase orders stay in force through a CEO change.

The test comes November 17. If revenue lands near $108.0 billion and Kress reaffirms the fiscal 2028 outlook, the selloff overshot. A guidance cut would break that case.