Shares of Super Micro Computer are getting hammered after their auditor Ernst & Young sent a letter of resignation and has begun process of identifying a successor.
Meanwhile SMCI does not currently expect any restatements and disagrees with EY’s decision to resign.
Yikes.
Shares are currently trading down $-16.40 or -33.27% at $32.83
Looking at chip stocks:
- Nvidia shares are also under pressure with a decline -1.52%.
- AMD announced their earnings after the close yesterday and its shares are down -8.0% in premarket trading.
- Broadcom shares are down -1.17%
- Micron shares are down -1.83%
- Qualcomm shares are down -3.37%
Meanwhile Dell shares are trading up 7.00% as it is generally thought that if SMCI is cooking the books, that it benefits Dell who builds similar computers.
