Supermicro Stock Price News – SMCI Stock In Big Trouble? What You Need To Know!

This is my latest urgent update on the Supermicro stock price news.

Supermicro (SMCI) stock has been dominating the headlines over the past few days and unfortunately for all the wrong reasons! Is this AI powerhouse stock really in BIG trouble?

If you’re an AI investor, you’ve probably heard of Super Micro Computer: 

They build the infrastructure required to do AI at scale using Nvidia, AMD, and Intel chips, and their stock, SMCI, was super hot during the initial phases of the AI bubble. 

But what’s going on with the company right now is crazy.

Check Out My Supermicro SMCI Stock Video Review Below:

In my $5M portfolio, I have a $13,000 exposure to SMCI stock but this recent Supermicro stock price news has made me take a deeper look down the rabbit hole to see exactly what is going on and how my latest SMCI analysis will affect my decision in this stock both now and in the future.

Before the recent chaos, I was even planning to buy more shares if its stock price dropped. You know, bargain shopping. But here’s how my strategy has changed and what you need to know. 

SMCI saw an over 2,900% gain since AI started to hype up in 2022, but after it reached an all-time high in March of 2024, its stock price has been on a nosedive.

Things got even crazier this week, and SMCI shares plunged another 40% after its auditor, EY, dumped them as a client, saying they don’t want to be associated with them due to alleged shady practices.

This is after the U.S. Department of Justice began investigating Super Micro, allegedly finding glaring accounting red flags…

If they can’t provide audited financials, the SEC will act. Depending on the extent of these alleged shady practices, there’s even a risk of the company getting delisted from the stock exchange, which is the worst-case scenario for its shareholders. In the best-case scenario, its management could face legal consequences, and the company could find new talent to lead it out of its current troubles and move it forward.

Here’s Where It Gets Interesting: 

BlackRock and Vanguard are some of SMCI’s biggest shareholders. A conspiracy theory suggests that this could all be price manipulation, allowing large Wall Street firms to buy SMCI stocks at a lower price.

At Invest Diva we don’t like to invest based on fear or conspiracy theories.

We invest based on all five points of the Invest Diva Diamond Analysis which includes YOUR risk tolerance, values, and timeframe to reach your goals.

If you own SMCI shares, here are the questions to ask yourself before deciding to sell, hold, or buy more:

1- If I continue holding and the company gets delisted (meaning I’ll potentially lose it ALL), how would I feel?

2- If I cut my losses short now, and they miraculously get themselves out of this situation and their stock price suddenly starts to rise, how would I feel?

3- Do I want to be involved with a company accused of fraud? Or, based on their history, category, and partners, am I willing to support them during rough times?

4- Do I want to instead invest in one of their competitors such as Dell?

I’m going to personally be sharing my exact Dell strategy in November in our Newsletter right HERE.

Here’s My Top Recommendation For You Right Now:

If you want to know exactly how I manage my portfolio every month, grab your special offer immediate access to my Newsletter HERE.

If you liked learning about this Supermicro stock price news blog, then you will love my latest blog post about Boeing In Crisis? Is It A Good Time To Buy Boeing Stock?

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