Shares of Super Micro Computer Inc (NASDAQ:SMCI) are witnessing their most significant decline in almost two months on Friday, triggered by the company’s announcement of the date for its third-quarter results without issuing a pre-announcement of results.
The stock plunged by as much as 15%, marking its largest one-day drop since February 23. Furthermore, it is presently trading at its lowest level since February. Despite a robust performance earlier in the year, with shares soaring over 180% in 2024, the stock has shed a third of its value since reaching a peak in March.
Wells Fargo Securities observed that the lack of a positive preannouncement from Super Micro, along with a crucial artificial intelligence (AI) data point, is viewed as negative. The firm maintains an equal weight rating on the stock.
The third-quarter results are slated for release on April 30. In January, Super Micro provided preliminary financial results that garnered positive investor sentiment, propelling a rally in the stock in 2024. The company’s strong performance led to its inclusion in the S&P 500 index in March.
On a broader scale, technology stocks are witnessing a downturn on Friday, with geopolitical concerns contributing to a 0.9% decline in the Nasdaq 100 Index. Among other AI-related stocks, Nvidia Corp (NASDAQ:NVDA) fell by 3%, while Dell Technologies Inc (NYSE:DELL) saw a decline of 1.6%.
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