Nvidia shares turned lower after the opening bell Friday, giving up a premarket gain, a day after the company announced that Jensen Huang had resigned as chief executive. The stock traded near $163 as of 9:45 a.m. Eastern, down about $3.20, or 1.9%, from Thursday’s close of $166.19. Before the open it had been up about 2%, near $170.
On Thursday the shares fell $7.54, or 4.34%, from Wednesday’s close of $173.73, after dropping as much as 14.3% to $148.80 at the open. The stock is now about 13% below last Friday’s close of $186.64.
Several Wall Street firms turned more cautious after the announcement. Truist cut the stock to hold from buy and lowered its price target to $174 from $346, and Craig-Hallum moved to hold from buy with a $180 target, down from $275, the Motley Fool and Stocktwits reported. Bernstein analyst Stacy Rasgon downgraded Nvidia to market perform from outperform and halved his target to $200 from $400, according to Yahoo Finance and TipRanks.
Nvidia said Thursday that Huang resigned as president, chief executive and a director, and named Chief Financial Officer Colette Kress interim CEO while the board searches for a permanent successor. As of Friday morning, that announcement was the company’s latest filing with the Securities and Exchange Commission.
Nvidia reports fiscal third-quarter results on Tuesday, Nov. 17.
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