After Jensen Huang's abrupt resignation, Nvidia shares have fallen by roughly 30% since Oct. 6, according to a CNBC Pro analysis, while uncertainty has sharply increased options prices. The article says investor concern intensified because the company did not have a clearly telegraphed succession plan.
At the same time, the publication argues that Nvidia's core business strengths remain largely intact. It points to the company's position in GPUs, the CUDA software ecosystem, and networking expertise, which the authors say still underpin Nvidia's role in the global artificial intelligence buildout.
CNBC Pro says the leadership transition and global regulatory scrutiny have pushed implied volatility to levels not seen since the tariff tantrum in the first half of 2025. The analysis suggests that elevated volatility could persist for several months while the search for a permanent CEO continues.
Against that backdrop, the article discusses a covered call strategy: buy 100 shares of Nvidia and sell 1 Dec 18 $185 call. According to the authors, the setup may allow investors to collect richer premiums, lower their effective cost basis and cushion some downside risk if the stock trades sideways or recovers only gradually.
The piece also stresses that it is editorial analysis and does not constitute investment, tax or legal advice. It further discloses that Tidal owns/holds all the securities mentioned in the article.
