Nvidia CEO Scandal Erases $600 Million in Paper Gains for Indian Employees

Nvidia's Indian employees have witnessed a staggering loss of nearly $600 million in paper gains over the past six weeks, as a combination of a sell-off in U.S. AI stocks and a scandal involving CEO Jensen Huang has sent the company's shares tumbling. As of November 2026, the value of unvested restricted stock units (RSUs) for Nvidia's Indian workforce has plummeted from a peak of $1.73 billion to approximately $1.11 billion, according to DotMR analysis.

In March 2026, Nvidia's Indian employees held about 7.05 million unvested RSUs, valued at around $1.2 billion when shares traded at approximately $170. By early October, the stock price surged to $244, significantly increasing the value of these RSUs. However, the optimism was short-lived. Concerns over a potential slowdown in AI advancements, coupled with reports of corporate misconduct involving Huang, have led to a dramatic decline in Nvidia's stock price.

As of November 11, 2026, Nvidia shares closed at $168.80, marking a significant drop from the October highs. This decline has resulted in a loss of roughly $600 million in paper gains for Indian employees, with the current value of their unvested RSUs estimated at $1.11 billion.

The implications of Huang's scandal extend beyond the stock market. As Nvidia prepares for its upcoming quarterly earnings report on November 17, the company's leadership and strategic direction are under scrutiny. Investors and employees alike are keenly aware that the outcome of this report could influence future stock performance and employee compensation.

The financial ramifications of the stock price decline are significant for Nvidia's Indian employees. With an average loss of $70 million in stock value for every $10 drop in share price, the impact is felt acutely among long-serving employees who rely on these stock awards as part of their compensation package. As of March 2026, Nvidia India employed 5,590 individuals, many of whom are likely affected by the recent stock fluctuations.

The vesting schedule for RSUs typically spans four years, with 25% of shares vesting after the first year and subsequent vesting occurring every three months. This means that employees who received shares during the previous vesting periods are now facing significant losses. For instance, shares that were valued at $204.42 and $213.90 during the last two vesting rounds have since lost approximately 17% and 21% of their value, respectively.

The market's reaction to Nvidia's stock performance has been volatile, reflecting broader concerns about the AI sector's sustainability. As investors grapple with the implications of Huang's scandal and the company's future direction, Nvidia's stock remains under pressure. The upcoming earnings report is expected to provide critical insights into the company's financial health and strategic priorities moving forward.

While Nvidia's shares experienced a brief uptick following positive market sentiment, the overall outlook remains uncertain. Employees are left to navigate the complexities of their compensation packages amidst a backdrop of corporate turmoil and market volatility.

As Nvidia's Indian employees confront the fallout from the CEO's scandal and the subsequent decline in stock value, the future remains uncertain. With the next vesting round approaching in early December, employees are anxiously awaiting the company's earnings report, hoping for signs of stability and a rebound in stock performance. The situation underscores the intricate relationship between corporate governance, employee compensation, and market dynamics in the fast-evolving tech landscape.