Super Micro Computer Stock Sinks on Smuggling Scandal. Is the Market Overreacting?

Shares of Super Micro Computer (NASDAQ: SMCI) have been crashing in recent days, on news that people connected to the company helped smuggle Nvidia's chips to China, getting around export restrictions in the process. As a result of the news, the stock has been in the midst of a sharp free fall. Within just the past week, it has crashed close to 30%. This isn't the first time that the company has been in turmoil. In October 2024, its shares also crashed more than 30% after its auditor resigned and raised ...