---
title: "Singapore declines to prosecute Alice Huang, but Nvidia's $601 billion wipeout never touched estimates"
description: "Singapore declined to prosecute the woman at the center of Nvidia's espionage scandal even as the chipmaker lost a record $601 billion in a day and Wall Street downgraded seven times. Investors can underwrite contracts, not character, and the earnings math has not moved."
publisher: "The Inference"
section: "Chips"
published: 2026-11-12T18:26:32.177Z
modified: 2026-11-12T18:26:32.177Z
canonical: https://theinference.org/article/singapore-declines-to-prosecute-alice-huang-but-nvidia-s-601-billion-wipeout-never-touched-estimates
language: en
keywords: "Nvidia, Semiconductors, Legal, Jensen Huang, Export Controls"
---

# Singapore declines to prosecute Alice Huang, but Nvidia's $601 billion wipeout never touched estimates

> Singapore declined to prosecute the woman at the center of Nvidia's espionage scandal even as the chipmaker lost a record $601 billion in a day and Wall Street downgraded seven times. Investors can underwrite contracts, not character, and the earnings math has not moved.

## Singapore let the "spy" go, and the market did not

The jurisdiction that actually investigated Alice Huang declined to prosecute her. Singapore's Home Affairs Ministry said Thursday it found insufficient evidence of offenses, issued the former Megaspeed International CEO [a stern warning for providing inaccurate information](https://www.bloomberg.com/news/articles/2026-11-12/singapore-says-warns-alice-huang-lacks-evidence-of-offenses), and barred her from re-entering the country. Probes of Megaspeed and six individuals continue [1]. That finding landed hours after [Nvidia](https://theinference.org/markets/companies/nvidia)'s stock opened down as much as 14%, erasing $601 billion of value, the largest one-day wipeout ever recorded for a stock, after CEO [Jensen Huang](https://theinference.org/markets/people/jensen-huang) resigned over affairs with Alice Huang (no relation) and Nvidia executive Kimberly Powell [3].

## Sellers priced treachery; estimates never moved

The sell-side verdict has been brutal: [at least seven downgrades in a week](https://finance.yahoo.com/markets/stocks/articles/nvidia-sinks-11-report-board-140600578.html), with Bernstein halving its target to $200 from $400, [Evercore](https://theinference.org/markets/companies/evercore) cutting to $186 from $465, and five-year credit default swaps more than tripling since mid-year to 1.445 points [4][5]. But the earnings record did not change. Consensus still expects Nvidia's EPS to more than triple, from $4.77 in the year to January 2026 to $15.91 by January 2028, right where it stood in late October [5].

*Chart: **The multiple collapsed even as EPS estimates held** Column chart of Nvidia's forward P/E: about 13x today versus a 30x three-year average and 36x five-year average*

*Nvidia forward (next-twelve-month) P/E, x, as of November 12, 2026, versus three- and five-year averages per TIKR data cited by Yahoo Finance. Sources: 5, 8. [5][8]*

At about 13x forward earnings against a 36x five-year average, the market is charging a security scandal at a company whose chips still sell out and which [books no China data-center revenue in guidance](https://finance.yahoo.com/markets/stocks/articles/china-hawk-export-controls-cost-154411878.html) [5][8].

*Chart: **Quarterly revenue has nearly quadrupled in two years, to $96.2 billion** Line chart of Nvidia quarterly revenue from Q1 2024 to Q2 2026, rising from $26.0 billion to $96.2 billion, against the $108 billion guide for the coming quarter*

*Nvidia revenue by quarter, $ billions, fiscal quarters as the company reports them, Q1 2024 (ended April 2024) through Q2 2026 (ended July 2026), against the $108 billion revenue guide for the quarter reported on November 17. Sources: 9 (SEC filings), 3, 5. [9][3][5]*

## The money trail is real, the "spy" label is not proven

The verifiable receipts: Century Litong, tied to Alice Huang's family through her husband Kang Wei and sister Huang Yu, was named an Nvidia preferred cloud partner shortly after its 2023 founding, imported roughly 240,000 chips worth $7.5 billion, and her family-linked firms put [$14 million into DeepSeek's round](https://seekingalpha.com/news/4671540-alice-huang-tied-companies-made-14m-investment-in-deepseek-report) [2]. [Washington is treating it as espionage anyway](https://theinference.org/article/trump-knew-about-a-spy-next-to-nvidia-s-chief-and-chose-the-stock): Moolenaar threatens a subpoena, an FBI probe is running, and Warren wants Commerce's Lutnick to explain delayed blacklisting [6][7].

## Fade the panic, or short the suppliers, before Tuesday

Nvidia reports Tuesday with [a $108 billion revenue guide](https://www.bloomberg.com/news/articles/2026-11-12/nvidia-market-value-sinks-below-4-trillion-after-huang-resigns) [3][5]. Investors can underwrite contracts, not character: the two trades are fade the panic on unchanged estimates, or stay short the supplier complex, [Super Micro](https://theinference.org/markets/companies/super-micro) and Dell down 10% and 7% Thursday, until the board's investigation and Moolenaar resolve [3][5]. Deep dive in our Nov 12 board-meeting piece below [3][5].

## Takeaway

Singapore found no case to bring against Alice Huang, yet Nvidia lost a record $601 billion in a day on its chief executive's exit while consensus EPS estimates stayed exactly where they were.

## Sources

1. [Bloomberg, Singapore Bars Alice Huang, Finds No Evidence for Prosecution in Spy Case, 12 November 2026](https://www.bloomberg.com/news/articles/2026-11-12/singapore-says-warns-alice-huang-lacks-evidence-of-offenses)
2. [Seeking Alpha, Alice Huang-tied companies made $14M investment in DeepSeek: report, 12 November 2026](https://seekingalpha.com/news/4671540-alice-huang-tied-companies-made-14m-investment-in-deepseek-report)
3. [Bloomberg, Nvidia Market Cap Falls Under $4 Trillion After CEO Jensen Huang Steps Down, 12 November 2026](https://www.bloomberg.com/news/articles/2026-11-12/nvidia-market-value-sinks-below-4-trillion-after-huang-resigns)
4. [Bloomberg, Nvidia Default Risk Climbs as Board Considers CEO Jensen Huang's Future, 12 November 2026](https://www.bloomberg.com/news/articles/2026-11-12/nvidia-default-risk-nears-record-high-as-board-weighs-ceo-s-fate)
5. [Yahoo Finance, Nvidia Sinks 11% on Report Board Will Oust Jensen Huang; Bernstein Downgrades, 12 November 2026](https://finance.yahoo.com/markets/stocks/articles/nvidia-sinks-11-report-board-140600578.html)
6. [Seeking Alpha, Washington weighs in on Huang's resignation from Nvidia, 12 November 2026](https://seekingalpha.com/news/4671511-washington-weighs-in-on-huangs-resignation-from-nvidia)
7. [Bloomberg, Nvidia Chip Scandal Intensifies Focus on Commerce Secretary Lutnick's Role, 12 November 2026](https://www.bloomberg.com/news/articles/2026-11-12/trump-backs-lutnick-despite-uproar-over-nvidia-chip-controls)
8. [Yahoo Finance, Export Controls Have Cost Nvidia Exactly Zero Sales. Congress Wants That to Change, 12 November 2026](https://finance.yahoo.com/markets/stocks/articles/china-hawk-export-controls-cost-154411878.html)
9. [Nvidia, quarterly figures from its SEC filings, retrieved 12 November 2026](https://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0001045810)


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Singapore declines to prosecute Alice Huang, but Nvidia's $601 billion wipeout never touched estimates — The Inference. Canonical: https://theinference.org/article/singapore-declines-to-prosecute-alice-huang-but-nvidia-s-601-billion-wipeout-never-touched-estimates