Wealth managers hold steady on Nvidia stock after CEO departure

Nvidia shares experienced a continued decline at the start of trading on Friday, November 13. This followed a 4% drop on Thursday after reports emerged regarding the resignation of co-founder and chief executive Jensen Huang. The news, which included details about his personal relationships and national security concerns, has prompted investors to question the future trajectory of a company that sits at the heart of the current artificial intelligence boom.

To understand how professional wealth managers are reacting to these developments, CNBC conducted a flash poll among members of its Financial Advisor 100 and Financial Advisor Council. The survey was an online, multiple-choice questionnaire administered between 11 a.m. and 5 p.m. Eastern Standard Time on November 12. Of the 122 firms and professionals contacted, thirty responded to the poll. This data serves as a snapshot of current sentiment rather than a comprehensive measure of all financial advisors.

The majority of the thirty respondents, specifically nineteen, indicated that they are keeping their Nvidia positions unchanged. Four participants reported that they are increasing their stakes in the company, while seven stated that they do not currently own the stock. Notably, none of the respondents said they were selling the stock at the time of the survey.

Winnie Sun, managing director and founding partner of Sun Group Wealth Partners in Irvine, California, explained that most clients are in a position to hold their shares. She noted that for many, Nvidia represents a smaller percentage of a broadly diversified portfolio. Sun is a member of the CNBC Financial Advisor Council and emphasized the stability of holding such positions.

In written responses to the poll, several advisors described a wait-and-see strategy. They reported telling their clients to avoid making hasty decisions in response to immediate news. Peyton Jamison, a certified financial planner and president of Jamison Private Wealth Management in Alpharetta, Georgia, advised against reacting to short-term headlines. He argued that the company's valuation remains attractive and that attention should stay on its fundamental business drivers and long-term potential. His firm is ranked number 78 on the 2026 CNBC Financial Advisor 100 list.

When asked what factors might alter their approach to Nvidia, thirteen respondents cited the outlook for AI demand. Eleven pointed to valuation metrics, while ten mentioned company leadership or governance issues. Some advisors noted that their decisions depend on individual client circumstances. Eight cited risk tolerance, and seven mentioned portfolio concentration as key variables. Seven respondents said they do not expect to change their current approach at all.

Nvidia is scheduled to report its third-quarter fiscal 2027 financial results on Tuesday, after the market closes. Advisors participating in the poll stated that these upcoming earnings results will be a critical factor in determining their next course of action. They suggested that an investor's decision should depend on their existing Nvidia holdings, their timeline for needing the capital, and their personal comfort level with market volatility.

Sun added that if the uncertainty surrounding the company causes significant discomfort for an investor, selling and moving the capital to another stock or portfolio remains a valid option. She highlighted the importance of assessing how much a specific position weighs on an individual's peace of mind and financial stability.

It is important to note that Nvidia exposure can extend beyond direct stock ownership. Because of the company's massive market value, it is a significant holding in many broad-market funds, including those tracking the S&P 500 and target-date retirement funds. Investors can review the fact sheets for their 401(k) or brokerage account funds to identify their largest holdings and gauge their indirect exposure to Nvidia.

While a decline in a single stock does not translate one-for-one into a decline for the entire fund, advisors warn that investors in dedicated technology, semiconductor, or growth funds may have higher Nvidia exposure than they realize. Andy Pratt, a partner and director of investment strategy at Burney Wealth Management in Reston, Virginia, noted that Nvidia is a major component of virtually every portfolio, whether active or passive. He advises clients to let the dust settle before making decisions. Burney Wealth Management is ranked number 34 on the 2026 CNBC Financial Advisor 100 list.