Nvidia shares plunged more than 9% in after-hours trading Wednesday after The Wall Street Journal reported that its board was preparing to remove CEO Jensen Huang.
Directors could meet as soon as Wednesday to determine his future, according to the Journal. No final decision was reported.
The news followed a separate New York Times report alleging Huang had an extramarital relationship with Kimberly Powell, Nvidia's vice president of healthcare. Nvidia, Powell and Huang's reported crisis communications firm did not immediately respond to requests for comment.
The developments come days after Huang acknowledged infidelity in a message to employees.
"I was unfaithful to my wife. My actions hurt her and our children. There is no excuse for what I did," he wrote Sunday. "I am deeply sorry."
That admission followed reporting about a separate relationship with Alice Huang, whom U.S. intelligence officials reportedly suspect of working for Chinese intelligence. The espionage allegations remain under investigation.
Nvidia's board has launched an independent inquiry and retained law firm Wachtell, Lipton, Rosen & Katz.
The leadership uncertainty adds to an existing selloff: Nvidia was already down 7% for the week before Wednesday's after-hours plunge, amid broader concerns about the sustainability of AI infrastructure spending.
