Could Super Micro Computer lose customers because of all its current problems?In today's video, I discuss recent updates affecting Super Micro Computer (SMCI -6.31%). To learn more, check out the short video, consider subscribing, and click the special offer link below.*Stock prices used were the market prices of Nov. 12, 2024. The video was published on Nov. 12, 2024. ...

Key TakeawaysSuper Micro Computer shares continued sliding in extended trading after leading Nasdaq decliners on Wednesday following news that the embattled server maker would delay the filing of its quarterly results. The stock's sell-off has continued after breaking down below a descending broadening wedge pattern late last month on above-average volume.Investors should watch important support levels on Super Micro's chart around $17 and $12, while keeping an eye on key resistance levels near $23 and $30. ...

Key TakeawaysShares of Super Micro Computer extended their 2024 swoon on Wednesday, with the stock dropping after the company said it would not submit its fiscal first-quarter results in a timely manner.Supermicro said last month that it could not predict when it would file its annual report for 2024. The company risks being delisted from the Nasdaq.Supermicro's shares are down more than 25% this year and well off 2024 highs. Shares of Super Micro Computer (SMCI) extended their 2024 swoon on Wednesday, wit ...

The most publicized and notable stock market meltdown of 2024, at least thus far, has been the tale of Super Micro Computer Inc (NASDAQ: SMCI). The semiconductor company, which had at one point rallied by as much as 316% in 2024 has been on a steady yet steep decline.At this point in time, however, Supermicro could be facing an existential threat — after a damning report from noted short-selling activist group Hindenburg Research, the company has consistently delayed the filing of important documents with t ...

About this content About Emily Jarvie Emily began her career as a political journalist for Australian Community Media in Hobart, Tasmania. After she relocated to Toronto, Canada, she reported on business, legal, and scientific developments in the emerging psychedelics sector before joining Proactive in 2022. She brings a strong journalism background with her work featured in newspapers, magazines, and digital publications across Australia, Europe, and North America, including The Examiner, The Advocate, ...

POLAND - 2024/11/06: In this photo illustration, a SuperMicro logo is displayed on a smartphone with ... [+] stock market percentages in the background. (Photo Illustration by Omar Marques/SOPA Images/LightRocket via Getty Images)SOPA Images/LightRocket via Getty ImagesSuper Micro Computer stock (NASDAQ: SMCI) fell by about 6% in Tuesday’s trading and remains down 54% over the past month amid significant corporate governance concerns and questions about the company’s financial reporting. Hindenburg Research ...

Super Micro Computer (NASDAQ: SMCI ) is still dropping, and is five times cheaper than its March 2024 peak. The company is still generating exponential revenue growth and increasing EPS. However, the stock price suggests that concerns about SMCI's accounting inaccuracy overshadowComing from an IT background, I have dived into the U.S. stock market seven years ago by managing portfolio of my family. Starting managing real money has been challenging for the first time, but long hours of mastering fundamental ...

Super Micro Computer (NASDAQ: SMCI ) (NEOE: SMCI:CA ), a leading liquid-cooled server technology company, has seen its shares fall in recent weeks as uncertainty has arisen over the company's ability to remain listed on the Nasdaq due to, amongWright's Research employs a disciplined, long-term approach rooted in contrarian thinking and unorthodox strategies. Our insights are grounded in fundamental analysis and the principles of value investing, allowing us to uncover overlooked opportunities and challenge ...

Core Viewpoint - Super Micro Computer (Supermicro) faces significant existential challenges that have led to a dramatic decline in its stock price, despite previous high growth rates and market enthusiasm for AI-related stocks [1][3][14]. Financial Performance - Supermicro's revenue increased by 46% in 2022 and 37% in 2023, with analysts projecting a remarkable 110% growth for 2024, primarily driven by a surge in shipments of dedicated AI servers [2]. - The company's stock reached a record high of $118.81 on March 13, reflecting a 5,080% gain over four years, but has since plummeted to around $23, trading at 7 times forward earnings and less than 1 times next year's sales [1][3]. Stock Decline Reasons - The stock price dropped nearly 80% due to past issues, including a delisting from Nasdaq in 2018 following an SEC investigation into improper revenue booking, with a subsequent relisting in 2020 after a settlement [4]. - Recent allegations from Hindenburg Research suggested that Supermicro inflated its revenue again, leading to management's delay in filing its annual 10-K report for fiscal 2024 [5][6]. Audit and Regulatory Issues - Ernst & Young, the company's auditor, resigned, indicating it was "unwilling to be associated" with Supermicro's financial statements, raising concerns about the reliability of past financial reports [6][11]. - The Department of Justice has initiated a new investigation into Supermicro, compounding the regulatory challenges the company faces [10]. Potential Consequences - Failure to file the 10-K by November 16 could result in delisting from Nasdaq again, triggering immediate liabilities for $1.725 billion in convertible notes, which could severely impact liquidity and operational capabilities [7][8]. - Supermicro's top supplier, Nvidia, is reportedly reallocating GPU orders to competitors, and customers may shift their AI server orders to other companies like Dell and Hewlett Packard Enterprise [9]. Investment Outlook - The company is deemed uninvestable until it resolves its accounting issues, secures a new auditor, and files its 10-K, as the current situation raises significant doubts about its financial health and future prospects [11][14]. - Analysts' optimistic long-term expectations cannot be trusted until the company addresses its existential challenges and stabilizes its operations [13].

Core Viewpoint - Supermicro faces significant challenges as its stock price has dropped sharply due to investor concerns over financial legitimacy and upcoming compliance deadlines [1][2][3]. Group 1: Business Performance - Supermicro's business had been growing rapidly, driven by increased demand for AI computing and data center growth [3]. - Recent updates indicated that sales would be slightly lower than previously guided, raising further concerns among investors [4]. Group 2: Financial Legitimacy - A short-seller report and the delay in filing the 10-K annual report have led to questions regarding the legitimacy of Supermicro's prior financial results [3]. - An investigation by a special committee found no evidence of fraud or misconduct by management or the Board of Directors, which alleviated some worst-case scenario fears [4]. Group 3: Stock Market Reaction - As of 10:40 a.m. ET, Supermicro shares were down 11.1%, contributing to a monthly decline of approximately 53% [2]. - Investors are preemptively selling shares due to fears of a potential delisting from Nasdaq, which could lead to further stock price declines [4][5]. Group 4: Compliance and Future Outlook - Supermicro faces a November 16 deadline to submit a plan to Nasdaq to regain compliance with stock listing rules [4]. - The current instability is causing the company to lose business opportunities, suggesting that it may be prudent for investors to remain cautious until the annual report confirms business stability and accurate financial data [5].