Super Micro Computer was poised to be one of the better-performing semiconductor plays of last year. Then, in August, now-defunct short-selling activist group Hindenburg Research released a scathing report, which alleged widespread accounting malpractice at the company.
In the aftermath, the business delayed the filing of crucial reports, and its auditor, Ernst & Young (EY) resigned. Unsurprisingly, Super Micro Computer stock (NASDAQ: SMCI) plummeted to a low of just $18.
The road to recovery has been quite long but mostly filled with positive developments. Super Micro found a new auditor, and SMCI shares rallied to $50.93 following a promising Q2 2025 earnings call on February 11. This rally continued up until February 19, when Super Micro shares reached a year-to-date (YTD) high of $60.25 — a mark above the prices seen at the time of Hindenburg’s report.
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Despite generally positive news, SMCI stock then saw a 24.41% pullback, with prices reaching $45.54 by February 25. As bullish as the quarterly report was, the semiconductor company did not file the delayed documents at the time of its release. In other words, there was still a chance that it could be delisted from the NASDAQ — although Super Micro expressed confidence that the documents would be filed on time.
In the pre-market trading session on February 26, SMCI stock surged by 24.73% and was trading at a price of $56.22 at press time, bringing YTD returns up to 84.45%.
SMCI stock rallies on regained compliance
To cut to the chase — on February 25, the day of the deadline, Super Micro filed the delayed documents, audited by BDO. Per a company press release, correspondence from the NASDAQ exchange has confirmed that the business has regained compliance with filing requirements, is no longer at risk of being delisted, and that the exchange now considers the matter closed.
In the company’s latest quarterly report, Super Micro lowered its 2025 guidance but raised its 2026 guidance, now expecting over $40 billion in revenue in the next fiscal year. The stock’s price action will likely stabilize, with no more sudden moves to the upside in the short and medium term.
Two weeks ago, renowned technical analyst TradingShot outlined a case for SMCI stock rallying to $65, citing a bull flag chart pattern and previous price action.
Readers considering a long position should keep an eye out for Nvidia’s earnings call, due after market close on February 26. The Jensen Huang-led venture is both a key partner of Super Micro, as well as a barometer for the general outlook on artificial intelligence (AI) plays.
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