Super Micro Computer Inc. (SMCI) shares are plummeting on Wednesday after the company reported weaker-than-expected preliminary financial results, a business update regarding the resignation of its auditor, Ernst & Young (EY), and a downgrade from JPMorgan. The company’s revenue and earnings projections for the first and second quarters fell short of previous estimates, and it remains unclear when it will file its annual report.
Results for: Super Micro
CNBC’s Jim Cramer has taken aim at Super Micro Computer Inc. (SMCI) following its recent business update and disappointing preliminary first-quarter results. He criticizes the company’s ability to exonerate itself while questioning its sales performance, especially in light of its dependence on Nvidia GPUs. Cramer’s comments come after Super Micro revised its revenue and earnings guidance downward for the quarter, indicating a significant drop in performance. The company’s stock has also experienced volatility, plunging in after-hours trading despite a positive close.
Super Micro Computer, Inc. (SMCI) announced the launch of a high-density 3U Edge AI inferencing system, aimed at powering AI applications at the network edge. The launch comes amidst a Department of Justice investigation into the company following allegations of accounting irregularities. SMCI shares initially climbed in premarket trading but plunged at the opening bell.
Needham analyst Quinn Bolton initiated coverage on Super Micro Computer (SMCI) with a bullish outlook, citing the company’s strong growth prospects in AI infrastructure and liquid cooling solutions. Despite recent stock volatility due to a short seller report, Bolton forecasts significant revenue growth and expects Super Micro to benefit from expanding manufacturing capacity and growing demand for its products.
Super Micro Computer, Inc. (SMCI) saw its stock price plummet after reporting earnings, mirroring the same issue that impacted Dell Technologies last quarter. Concerns around AI server margins are fueling the decline, despite Super Micro’s focus on AI and its liquid cooling technology advantage.