Thinking of Buying Super Micro Computer Stock? 3 Things You Should Know

Super Micro Computer (NASDAQ: SMCI), the AI server maker, has taken investors on a wild ride over the last three months.The company's troubles began with a short-seller report from Hindenburg Research at the end of August, alleging a wide range of accounting irregularities. That was shortly followed by a delay in the filing of its 10-K, and in September the Department of Justice reportedly opened up an investigation into the company. It also received a delisting warning from the Nasdaq stock exchange. Last month, the company's troubles reached a fever pitch when its auditor, Ernst & Young, resigned, and it also delayed its first-quarter 10-Q filing. It released preliminary first-quarter results but was unable to release a complete report, and the stock continued to spiral, hitting bottom at an intraday low of $17.25 on Nov. 15 ahead of the Nasdaq's deadline to stay in compliance. That marked a 69% decline from before the short-seller attack.However, since then, Supermicro has scored some redemption with investors as it hired a new auditor and sent a compliance plan to the Nasdaq. As of Nov. 22, the stock was up 92% from the low on Nov. 15.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool