Nvidia Gets Rare Downgrade as Jensen Huang Scandal Weighs on Outlook

Nvidia has been downgraded by Baird and removed from Morgan Stanley’s Top Pick list amid a deepening leadership crisis and alleged ties to China involving CEO Jensen Huang. Legal analysts warn Huang could face criminal liability under the Economic Espionage Act if he knew of espionage activities. Shareholders have also filed a class‑action lawsuit accusing the company of covering up the alleged spy affair, raising investor confidence concerns.