SMCI Stock Climbs Nearly 4% In Wednesday Pre-Market: What's Going On?

Super Micro Computer Inc. (NASDAQ:SMCI) rose 3.45% during the pre-market trading on Wednesday, a day after it became the top gainer on the S&P 500.

What Happened: Last week, Super Micro submitted its delayed financial statements to the U.S. Securities and Exchange Commission (SEC). This move mitigated concerns about the company’s potential delisting from Nasdaq. BDO, the company’s auditor, validated the financial statements, affirming their alignment with U.S. accounting standards.

The company confirmed in a release that it has regained compliance with the filing requirements, and the matter is now closed. Charles Liang, CEO and founder, referred to the filing as an ‘important milestone’ and said that the company will now concentrate solely on its core business.

Interestingly, the company’s Co-founder and Senior Vice President, Sara Chiu-Chu Liu Liang, and Senior Vice President of Operations, George Kao, sold millions of dollars worth of company stock after the company met the deadline for overdue financial filings.

SEE ALSO: Intel Panther Lake Delay Pushes Key Notebook Launch To 2026

Why It Matters: Super Micro’s business has been flourishing, primarily due to the growing demand for NVIDIA’s (NASDAQ:NVDA) GPUs. The company’s sales more than doubled to $14.99 billion in fiscal 2024, according to the updated financials.

While the AI server-maker is now in compliance with Nasdaq, the filing reveals several internal control issues, a significant customer shift, and increasing legal risks. Furthermore, the stock plunged on Monday after Singaporean lawmakers launched a probe suspecting fraudulent shipments of AI servers containing high-end Nvidia chips, amid a possible breach of U.S. export regulations

SMCI stock surged more than 30% on a YTD basis, while over the past month, it gained over 24%, as per Benzinga Pro.

READ MORE: Nvidia Chip Fraud Probe: Malaysia Vows ‘Necessary Action’ But Admits ‘We Don’t Know’ Where Servers Went

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