Super Micro Faces Stock Decline Despite CEO's Reassurance on Nasdaq Listing

The company grapples with investor concerns over financial reporting delays, auditor resignation, and ongoing controversies.

Super Micro's stock dropped over 9% on Wednesday, extending losses from the previous day, as investor concerns over potential Nasdaq delisting persist.
CEO Charles Liang expressed confidence that the company will meet its February 25 deadline to file delayed financial reports, following an extension granted by Nasdaq.
The company's reputation has been impacted by an August report from Hindenburg Research alleging accounting malpractices and export control violations, and the resignation of its auditor Ernst & Young in October.
An independent review cleared Super Micro of fraud or misconduct, resulting in a temporary stock rally, but analysts remain cautious, with major firms suspending coverage and limited buy recommendations.
JPMorgan noted that customer orders remain strong, and Super Micro plans to expand operations in Malaysia and roll out new products in fiscal 2025, though the firm maintained an 'Underweight' rating with a $23 price target.