Two company officers registered to sell shares after Super Micro Computer (SMCI) achieved Nasdaq compliance. SMCI’s shares dipped on Thursday.
The San Jose, Calif.-based firm, also known as Supermicro, reported Wednesday that it had received a notification letter from Nasdaq indicating that it now conforms with Nasdaq listing standards. It no longer fears delisting after releasing late financial reports for the fiscal year 2024 and the first two quarters of 2025. Supermicro filed these reports with the Securities and Exchange Commission of the United States on Tuesday. “The matter is now closed,” Supermicro stated in a press statement. Then, on Wednesday, two business officials notified the SEC that they wanted to sell SMCI stock.
SMCI Stock Reinstated With Neutral Rating:
On Thursday, Barclays analyst George Wang reiterated his equal weight, or neutral, recommendation on SMCI shares, setting a price objective of 59. He suspended his rating while the business addressed accounting and regulatory filing concerns. “While we recognize SMCI’s dominant position in AI server and direct liquid cooling (DLC) as we expect it would be among the first to ship (Nvidia) B200 HGX servers in March-Q, we think that its competitive moat is shrinking, and its checkered past could limit the P/E multiples investors are willing to pay for the stock,” Wang wrote in an investor note.
He continued: “We thus stay on the sidelines despite SMCI now being compliant with its filings, which should help with business basics, such as additional order wins from customers who were previously hesitant.” SMCI shares were a hot commodity until it was struck with accounting issues in 2024. It hit an all-time high of 122.90 in March 2024.
