Nvidia is sued by a shareholder over assurances about its CEO's Megaspeed ties

A shareholder has sued Nvidia and its chief executive, Jensen Huang, over the company’s assurances about his ties to a Singapore cloud customer. The case is the chipmaker’s first securities class action since its board opened an investigation into the relationship.

Rosen Law Firm filed the complaint on Monday in the Northern District of California. It covers anyone who bought Nvidia securities between 9 October 2025 and 8 November 2026, and its named plaintiff is Mark Kistenmacher, a retail investor. The suit cites three statements. A spokesperson described Huang’s contacts with Megaspeed executive Alice Huang as “not unusual or unexpected” in late October. The company had earlier said it found “no evidence of diversion” of its chips. Huang then told Bloomberg on 30 October that the Megaspeed dealings were “normal and not unusual.” The complaint says the affair made each statement false.

Nvidia shares fell 4.27% on Monday, after its Frankfurt-listed stock dropped more than 6% earlier. At least four firms, including Schall, Brown & Schwartz and Levi & Korsinsky, said they were investigating. Nvidia’s board announced an independent inquiry on Sunday, after the Financial Times reported that US intelligence believed Alice Huang had been recruited by China’s Ministry of State Security. Huang told employees he had been unfaithful to his wife, and the board said it had no reason to believe that national security or company secrets were compromised. No court has tested the allegations.

Featured source: TechCrunch , Ars Technica .

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Filed from: University of Exeter .