A shareholder sued Nvidia and CEO Jensen Huang in San Jose federal court on November 9, 2026, alleging they misled investors. The suit centers on Huang’s alleged affair with Alice Huang, a former Megaspeed executive US authorities reportedly concluded was a Chinese intelligence asset.
At a Glance
- Mark Kistenmacher, the named plaintiff, filed the proposed class action in the Northern District of California as case 5:26-cv-13448.
- Nvidia lost about $190 billion in market value as its shares fell on the day the suit was filed.
- Jensen Huang admitted in a weekend letter to staff that he had been unfaithful to his wife, without naming the other person.
- President Donald Trump said the FBI is looking into the matter and that Huang told him he had no idea the woman was a spy.
The complaint targets Nvidia’s account of the contact
Nvidia, the world’s most valuable chipmaker, told The New York Times in October that Huang’s interactions with Alice Huang were “not unusual or unexpected.” The company cast the contact as routine customer work for a CEO who talks with thousands of client executives a year. Alice Huang, who is not related to Jensen Huang, is a Chinese citizen and a former senior executive at Singapore-based Megaspeed.
The relationship surfaced last month in reporting by The New York Times. US agencies suspected Alice Huang worked for China’s Ministry of State Security.
The complaint says that statement was “materially false and misleading at the time it was made” because Huang had an affair with Alice Huang. The Rosen Law Firm filed it for Kistenmacher, bringing claims under Section 10(b) of the Exchange Act and Rule 10b-5 against both defendants. A separate Section 20(a) claim targets Huang alone. The proposed class period runs from October 9, 2025, through November 8, 2026.
BREAKING: Nvidia and CEO Jensen Huang have been sued in a proposed class action, per Reuters. A shareholder accuses them of defrauding investors by hiding Huang’s ties to a suspected Chinese spy.
— unusual_whales (@unusual_whales) November 9, 2026
Shares fell $7.97 after Huang’s weekend letter
Huang’s letter to employees, dated November 8, said he had been unfaithful to his wife, Lori. He apologized to his family and to Nvidia’s staff, board members, business partners and shareholders. He said he supported the investigation and would cooperate fully.
Nvidia said the same day that an independent board committee would examine reports that Huang was targeted by a foreign intelligence effort. Outside legal advisers are assisting it. On Monday, Nvidia stock fell $7.97 per share, or 4.27%, to close at $178.67, according to the complaint.
The complaint rests on that sequence. Its class period closes on the day of the letter and the committee announcement, and it pins investor losses on the drop that followed.
Megaspeed ties the affair to export controls
Megaspeed builds data centers across Southeast Asia and leases computing capacity to China’s Alibaba. US officials suspected it helped move advanced Nvidia processors into mainland China despite US export controls on Nvidia chips. Industry records cited in press reports put its Nvidia purchases at about $2 billion. Yet the company had a limited physical presence in the region.
The complaint adds that Commerce Department officials are investigating Megaspeed and that Singapore police are investigating it over suspected breaches of local law. Megaspeed said last year that it had acted in full compliance with all applicable laws, US export controls included.
Huang has publicly vouched for Nvidia’s oversight of the company. In an interview Bloomberg published on October 30, he said Nvidia had studied all of Megaspeed’s GPU deployments and counted each one. He added that he thought the US government had done the same.
The class window opens on the date of an earlier Nvidia statement to the Times, according to the complaint. Nvidia said then that there was no evidence its chips had been smuggled. Starting there pulls Nvidia’s export-control record into a case that began with Huang’s private life.
Washington’s inquiries run alongside the suit
Trump made his FBI remarks at a White House briefing on November 9, after speaking with Huang that day. He said Huang would be in good shape.
Three Republican House committee chairs have asked Huang to discuss his alleged links to Alice Huang in a closed-door meeting, according to Axios. Democrats want answers too: Senator Mark Warner and Representative Hakeem Jeffries both said they were interested in examining the matter.
Jeffries said the issue surfaced in a closed-door briefing, mostly on the Iran war, with the CIA director and the Director of National Intelligence. He said Congress needs to establish what happened and what it means for US national security.
Four questions the inquiries have not answered
The complaint’s allegations are untested in court. Huang’s letter doesn’t identify the other person, so the link to Alice Huang rests on press reports and the plaintiff’s claims. Neither Nvidia nor Megaspeed immediately responded to press requests for comment on the suit.
- Did Alice Huang obtain any Nvidia information, and if so, what kind?
- Did Megaspeed route restricted Nvidia processors into mainland China, as US officials suspected?
- Will Nvidia’s independent committee publish its findings?
- Will Huang meet the House chairs behind closed doors, and when?
Whatever the spy inquiries conclude, the securities case turns on narrower ground: what Nvidia told the public about Megaspeed and Alice Huang, and when. The complaint asks the court to certify the class, award damages and grant a jury trial. Investors who bought Nvidia’s publicly traded securities in that window fall within the class as drafted. The plaintiff’s lawyers moved fast, filing five minutes after the closing bell.
