From CNBC · Kevin Stankiewicz · · 1m 40s
Cramer on Nvidia as Huang faces ouster
Jim Cramer says a Jensen-less Nvidia is one many won't want to own, but the company can survive without its CEO.
In brief
Jim Cramer says a Jensen-less Nvidia is one many won't want to own, but the company can survive without its CEO. Nvidia's stock fell over eight percent after reports that the board is preparing to fire CEO Jensen Huang over an extramarital affair scandal. Originally reported by CNBC.
Board prepares to oust Huang
The Wall Street Journal reported Wednesday that Nvidia's board is preparing to fire CEO and co-founder Jensen Huang, with plans to meet as soon as Wednesday to discuss his future.
Scandal involves two affairs
The New York Times reported Huang had an affair with Kimberly Powell, Nvidia's vice president of healthcare.
Stock falls over eight percent
Shares of Nvidia fell more than eight percent in extended trading Wednesday after the Journal's report that the board was preparing to oust Huang.
Cramer's bleak assessment
Jim Cramer said on Mad Money that a Jensen-less Nvidia is an Nvidia many will not want to own, calling the situation very sobering.
“Look, a Jensen-less Nvidia is an Nvidia many will not want to own.”
Cramer's cautious stance
After the show, Cramer said he does not want to buy more Nvidia shares into the scandal-driven sell-off, nor does he want to sell ahead of next Tuesday's earnings report.
Long-term survival possible
Cramer expressed belief that Nvidia can still succeed over the long term even without Huang at the helm, citing Apple's success after Steve Jobs' death and the talent of executives like Ian Buck, who created…
Club downgrades Nvidia, shifts to AMD
The Investing Club downgraded Nvidia to a hold-equivalent two on Tuesday due to uncertainty around Huang's future.
The essence
Nvidia's stock fell over eight percent after reports that the board is preparing to fire CEO Jensen Huang over an extramarital affair scandal.
