NVIDIA Investors Awarded Class Status in Securities Fraud Lawsuit

NVIDIA investors have been granted class status in a securities fraud lawsuit against the company and its CEO.

The lawsuit claims that NVIDIA failed to disclose the impact of the 2018 cryptocurrency downturn on its product sales, leading to a decline in stock price. Judge Haywood S. Gilliam Jr. ruled that investors adequately supported their claims, certifying a class of those who acquired NVIDIA common stock between August 10, 2017, and November 15, 2018.

NVIDIA's alleged misstatements about channel management and revenue tied to crypto miner sales were found not to have been rebutted by the company. This decision allows the lawsuit to proceed as a class action, potentially impacting hundreds of investors who suffered losses due to NVIDIA's alleged misconduct.