Super Micro Computer CEO Charles Liang at the Computex conference in Taipei, Taiwan, June 5, 2024.
Annabelle Chih | Bloomberg | Getty Images
Super microcomputer joined in Nasdaq 100 in July. Five months later it comes out and the stock is down 8% on the news.
Nasdaq said late Friday that Super Micro is emerging removed from the indexwhich is made up of the 100 largest non-financial stocks on the Nasdaq and forms the basis for the Invesco QQQ Trust Exchange Traded Fund, one of the most actively traded ETFs.
The announcement is the latest in a rollercoaster ride of a year for Super Micro, whose shares rose to a record high of $118.81 in March as demand soared for the company’s servers equipped with artificial intelligence processors. The company’s market capitalization reached over $70 billion and was well deserved Recording in the S&P 500.
Super Micro is now worth about $20 billion, about a quarter the size of the median market capitalization of the companies in the Nasdaq 100. Nasdaq will also disappear Illumina And Modern From the group effective December 23rd.
The revision will make room for the additions of Axon Enterprise And Palantir Technologiesas well as Microstrategya company whose value is tied to its value Bitcoin worth billions of dollars Purchases. Shares of MicroStrategy have gained more than 500% so far this year and were flat in Monday trading.
Things started to turn for Super Micro in August when the company made the announcement would not submit file its annual report with the SEC on a timely basis. Prominent short seller Hindenburg Research then disclosed a short position in the company and said in a report that it had found “new evidence of accounting manipulation.”
In October, Ernst & Young resigned as Super Micro’s auditor, resulting in a Stocks fall 33%. An independent special committee of the board evaluated Ernst & Young’s concerns and no wrongdoing found after a three-month investigation. The report recommended the company replace its CFO. The company announced in November that BDO was its new auditor.
Super Micro was threatened with complete delisting from the Nasdaq for a second time due to its late financial reports, but that happened two weeks ago receive an extension until February 2025.
In a preliminary earnings report, the company said third-quarter revenue rose 181% year-over-year. below the consensus.
“Competition is strong, but I believe we are in a good position,” CEO Charlies Liang said during a conference call with analysts in November. Competitors include Dell and HPE.
