Nvidia’s stock rose in premarket trading Wednesday after falling for two days amid a scandal that has rocked the world’s most valuable tech company.
Shares were 5.3% higher in premarket trading Wednesday after closing down 5.47% on Tuesday and falling 4.3% on Monday.
The share jump follows Nvidia’s announcement that it had retained the law firm Wachtell, Lipton, Rosen & Katz to investigate whether company secrets or national security had been compromised.
Since the news broke, the Huang controversy has escalated on several fronts, as allegations have emerged that Huang’s relationship with Alice Huang facilitated at least $7.5 billion in Nvidia chip shipments to China, and that U.S. Secretary of State Marco Rubio had previously briefed President Donald Trump on the matter.
The FBI is also investigating whether a foreign intelligence operation targeted 63-year-old Huang.
Ahead of the company’s quarterly earnings report on Nov. 17, Huang is facing mounting calls from both sides of government.
Senate Democratic Leader Chuck Schumer demanded answers from the administration and tighter restrictions on chip exports to China, while Republican US Senator Kevin Cramer called on Huang to resign as CEO.
Nvidia lost roughly $430 billion in market value over two sessions amid the controversy.
By CEO NA Editorial Staff
