Nvidia preparing to replace CEO Jensen Huang as second alleged affair emerges: report

Nvidia is preparing to remove CEO Jensen Huang as the artificial intelligence giant faces questions about his leadership following reports of extramarital relationships, according to The Wall Street Journal.

The report comes as The New York Times reported Wednesday that Huang had an extramarital relationship with Kimberly Powell, Nvidia's vice president of healthcare, who reports directly to him.

The latest allegations follow Huang's admission Sunday that he had been unfaithful to his wife in a separate relationship involving a woman described as an alleged Chinese spy.

Nvidia founder and CEO, Jensen Huang, speaks during the 29th annual Milken Institute Global Conference on May 4, 2026.  (Patrick T. Fallon / AFP via Getty Images / Getty Images)

Huang acknowledged falling short of his responsibilities to Nvidia and pledged to cooperate with an independent investigation launched by the company's board of directors.

The board said it had no reason to believe national security or company secrets were compromised but would examine all available information.

The controversy has also weighed on Nvidia's standing with Wall Street analysts. Baird recently downgraded the chipmaker's stock to neutral, citing uncertainty surrounding Huang's tenure, potential softness in demand and limited visibility into 2027 data center spending.

In this photo illustration, the Nvidia logo is seen displayed on a smartphone screen against a computer screen displaying a matrix image, as stock value of the company has risen dramatically due to its sales of chips needed for AI development. (Photo Illustration by Dominika Zarzycka/SOPA Images/LightRocket via Getty Images / Getty Images)

Morgan Stanley removed Nvidia from its Top Pick list while maintaining an overweight rating, and Bank of America Global Research dropped the company from its U.S. 1 List.

Nvidia lost more than $427 billion in market capitalization during the first two trading sessions following Huang's disclosure and the announcement of the board investigation.

Huang co-founded Nvidia in 1993 and has led the company since its inception, overseeing its rise into a dominant player in the artificial intelligence industry.

A representative for Nvidia did not immediately respond to FOX Business' request for comment.