Jim Cramer, the host of CNBC’s “Mad Money,” has criticized Super Micro Computer Inc SMCI for its recent business update and preliminary first-quarter results.
What Happened: Cramer took to X to express his views on Super Micro’s performance. “Super Micro is so good at exonerating itself, better than it is selling,” NVIDIA Corp NVDA GPUs, he wrote.
The tweet comes after Super Micro provided its preliminary first-quarter results on Tuesday. The company expects to report revenue of $5.9 billion to $6 billion for the quarter, a decrease from its previous guidance of $6 billion to $7 billion.
The company also anticipates adjusted earnings of 75 cents to 76 cents per share, compared to its previous guidance of 67 cents to 83 cents per share. The first-quarter gross margin is expected to be around 13.3%.
See Also: PLTR, DJT, HIMS, NXPI, TSLA: Top 5 Trending Stocks Today
Why It Matters: Super Micro’s second-quarter revenue is projected to be between $5.5 billion and $6.1 billion, with adjusted earnings of 56 cents to 65 cents per share.
Super Micro’s financial credibility has been a concern for investors following significant governance issues. The company’s shares plunged after its independent auditor, Ernst & Young, resigned due to governance and transparency concerns. Super Micro has been working to stabilize in the wake of these challenges.
Price Action: Super Micro Computer Inc. closed at $27.70 on Tuesday, marking a gain of 6.42%, for the day. In after-hours trading, the stock dropped 15.88%. Year to date, the stock is down 2.98%, according to data from Benzinga Pro.
Read Next:
Image Via Shutterstock
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
