Nvidia and CEO Huang sued in a proposed securities class action

Nvidia and chief executive Jensen Huang were sued on Monday in a proposed class action accusing them of defrauding shareholders by concealing his ties with a suspected Chinese spy. The complaint was filed in federal court in San Jose. Those claims are allegations in the complaint, not a court finding. Nvidia did not immediately respond to a request for comment.

Shareholders led by Mark Kistenmacher are seeking unspecified damages. The suit was filed five minutes after the U.S. stock market closed. The complaint alleges the defendants misled shareholders about an alleged affair between Jensen Huang and Alice Huang, a former executive of Singapore-based Megaspeed who is not related to him. It alleges they did not disclose that the matter raised national security concerns that threatened Nvidia's reputation and business prospects.

The suit follows a probe Nvidia announced on Sunday. A prior report said U.S. authorities had concluded Alice Huang was a Chinese intelligence asset. That remains a reported allegation, not a finding in this case. Nvidia's board says it is opening an independent inquiry after those reports. The board has said it has no reason to believe secrets were compromised.

A law firm said it filed a class action of its own. Rosen Law Firm said its case covers purchasers of Nvidia securities from October 9, 2025, through November 8, 2026, and that no class has been certified. The firm said a lead-plaintiff motion is due by January 8, 2027. Its notice alleges the defendants failed to disclose an affair, a role at Megaspeed, and a national-security risk to the business. The notice does not name Mark Kistenmacher, and the two filings are not described as the same case.

The shares had already closed lower. Nvidia shares closed down 4.3% on Monday, a drop put at approximately $190 billion of market value. Shareholder suits often follow an unexpected share-price decline, and this complaint was filed after the close.