Nvidia worth 25% less without Jensen Huang as CEO, Yorkville Ives says

Nvidia, the leading chipmaker, could be worth 25% less without its CEO, Jensen Huang, according to brokerage Yorkville Ives. Analysts led by Dan Ives have valued Nvidia at $300 per share with Huang leading the company, compared to $225 if he were no longer CEO. This reflects Huang's crucial role in Nvidia's strategy and its dominance in artificial intelligence chips.

Recently, Huang has faced scrutiny over allegations of an affair with Kimberly Powell, the company's vice president of healthcare, and reports that Nvidia's board is considering ousting him. Huang admitted to an affair with Alice Huang, a Chinese businesswoman who has been accused of spying. Analysts are warning that the next 48 hours could be volatile, stating that Huang is not replaceable and that uncertainty surrounding his successor, Nvidia's strategic direction, and potential board changes could negatively impact the stock.

Despite these challenges, Yorkville Ives remains confident that Nvidia's strong position in the AI chip market and its leading GPU technology will help the company weather the leadership turmoil and maintain its central role in the AI industry.