SMCI Stock Climbs Nearly 4% In Tuesday Pre-Market Ahead Of Its Filing Deadline Today

Super Micro Computer Inc. SMCI rose 3.9% during the pre-market session on Tuesday ahead of today’s reporting deadline for the company’s delayed financial filings.

What Happened: SMCI is scheduled to file its delayed annual report for the year ended June, and quarterly report for the three months ended September with the SEC (Securities and Exchange Commission) today. Previously, CEO Charles Liang expressed confidence that the filings would be completed on time.

Super Micro has been under scrutiny since its independent auditor, Ernst & Young, resigned last October over governance and transparency concerns. This led to a delay in the company’s quarterly and full-year filings.

Nevertheless, an independent Special Committee found no evidence of fraud or misconduct by the company’s management or board. Super Micro has until February 25 to file its reports with the U.S. Securities and Exchange Commission.

On Feb 11, the AI server maker released preliminary first-quarter results and reiterated its commitment to submitting the delayed reports before the deadline. While shares initially declined following the announcement, they later recovered.

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Why It Matters: If Super Micro fails to meet the deadline, it risks delisting from the Nasdaq stock exchange. The company’s latest preliminary earnings hinted at a bright future, with projected revenues significantly exceeding Wall Street's expectations. However, without the necessary auditory compliance, investors remain uncertain. Today's events could either strengthen confidence or amplify skepticism.

Previously, Wedbush analyst Matt Bryson noted that Supermicro might successfully restate its financials or pursue a 180-day extension. However, they expressed uncertainty regarding the company’s near-term performance. On the other hand, Loop Capital Markets analyst Ananda Baruah is optimistic about SMCI, describing it as a key player in a crucial sector, well-positioned to capitalize on growth drivers such as resolving SEC filing delays and sustaining strong fundamentals.

The shares of SMCI lost over 41% over the past 12 months. SMCI was also named as the most volatile stock in the S&P 500 in 2024.

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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.