Nvidia — Who Gains and Who Loses if Huang Goes

Nvidia fell 8.6% in after-hours trading on Wednesday, to 158.78, after the Wall Street Journal reported that its board is preparing to remove chief executive Jensen Huang. The board met late on Wednesday; by 09:05 UTC on Thursday no decision had been announced. We took 41 companies tied to Nvidia as rivals, suppliers or customers and looked at what the market did with each of them in those hours. Five rose, and only two by more than half a percent: AMD and Broadcom. The companies that rent out Nvidia's chips fell most, its server makers and suppliers next. Below: who gains and who loses, now and if Huang leaves.

The scorecard after three shocks

Nvidia has been hit three times in four days. Monday was the first session after Huang told staff about an affair and the board opened a review; the stock fell 4.3%. On Tuesday it fell 5.5%. On Wednesday evening came the report that the board may remove him, and the stock lost 8.6% after hours. The table shows what a selection of the 41 names did each time.

Table as text

Name	Tie to Nvidia	Mon 9 Nov	Tue 10 Nov	Wed after hours	Thu before the open
Nvidia		−4.3%	−5.5%	−8.6%	−7.1%
AMD	rival in AI chips	+13.3%	+1.3%	+4.3%	+2.7%
Broadcom	custom AI chips, networking	+8.8%	+3.9%	+2.4%	+2.2%
Alphabet	own AI chips, also a customer	+1.2%	−0.3%	+0.3%	+0.2%
Marvell	custom AI chips	+9.5%	−0.1%	−2.8%	−3.3%
Intel	backed by Nvidia	+5.5%	−2.1%	−2.5%	−2.9%
TSMC (US shares)	makes Nvidia's chips	+3.5%	+2.0%	−2.0%	−2.4%
Micron	memory for AI chips	+6.3%	−1.1%	−2.8%	−3.7%
Dell	servers with Nvidia chips	+5.4%	−3.4%	−3.6%	−3.6%
Super Micro	servers with Nvidia chips	−0.6%	−2.8%	−5.1%	−5.6%
CoreWeave	rents out Nvidia chips	+5.6%	−0.5%	−6.4%	−7.4%
Nebius	rents out Nvidia chips	+9.2%	−5.3%	−4.0%	−2.8%
Chip fund SOXX	holds the sector	+7.5%	−0.1%	−1.8%	−2.8%

Two things frame the columns. Monday was a rebound day for the whole market: the chip index rose 6.9% and the S&P 500 2.3%, so almost everything was up. Tuesday brought a hot inflation report, and both indices lost 0.4%.

Three of the 41 rose all three times: AMD, Broadcom and Amazon, the last by only 0.4% on Wednesday night. On Monday we wrote that the market was pricing the person and not demand for the chips, because Nvidia's suppliers rose while it fell. We named the test: whether the supply chain starts falling with Nvidia. On Wednesday night it did. TSMC's US shares lost 2.0%, Micron 2.8%, Dell 3.6% and Super Micro 5.1%.

Before Thursday's open the picture is the same in direction. At 09:05 UTC Nvidia traded 7.1% under Wednesday's close, AMD 2.7% above it and Broadcom 2.2%. CoreWeave was down 7.4%, Micron 3.7% and TSMC's US shares 2.4%. Pre-market trading is thin, and the last column of the table can look different after the open at 14:30 UTC.

Asia on Thursday: early gains faded

Asia traded the same news a few hours later. The names that analysts list as winners rose in the morning and gave most of it back by the close.

Table as text

Name	Tie to Nvidia	High of the day	Close
Cambricon (Shanghai)	Chinese AI chips	+13.3%	+8.1%
Hygon (Shanghai)	Chinese AI chips	+7.9%	+3.1%
Samsung Electronics	memory; 0.3% of revenue from Nvidia	+3.9%	+1.0%
Alchip	designs custom AI chips	+8.2%	+0.7%
Tokyo Electron	chip-making equipment	+4.5%	+0.3%
Global Unichip	designs custom AI chips	+8.5%	−0.3%
SK Hynix	memory; about 27% of revenue from Nvidia	+2.6%	−1.8%
TSMC	makes Nvidia's chips	0.0%	−2.3%
Wistron	server maker	+3.7%	−2.6%
MediaTek	custom AI chips	+3.3%	−3.5%
Advantest	chip test equipment	−0.5%	−4.6%
Quanta	server maker	−0.7%	−6.5%

Samsung held a gain of 1.0%, and SK Hynix closed 1.8% lower. Bloomberg's supply-chain data explain the gap: about 27% of SK Hynix's revenue comes from Nvidia, against 0.3% for Samsung. The two Chinese chip designers kept most of their gains.

Europe opened to the same split. At 08:51 UTC ASML traded 2.8% under Wednesday's close, Infineon 1.7%, ASM International 0.9% and BESI 0.8%. The DAX was up 1.0% all the same, lifted by Siemens, which gained 3.4% after its results.