Stock prices for AI-related shares are predicted to plummet, leading to a 25% drop for this once-soaring investment.
Super Micro Computer, a leading technology company, experienced a significant setback on Wednesday as its stock dropped by 25 percent. This follows concerns about potential fraud that have been affecting the company.
Despite the recent crash, it's important to note that Super Micro Computer has been cleared of all fraud allegations by an independent auditor (BDO), which reviewed three years of financials and found them fair in all material respects. However, ongoing class-action lawsuits alleging securities fraud remain unresolved.
The company's operational results have continued to be poor, further fueling doubts among investors. Notably, Super Micro Computer's auditor terminated the contract for the required special audit earlier this year. This development has added to the uncertainty surrounding the company.
Analysts, such as George Wang from Barclays, have expressed extreme pessimism about the stock. Wang expects the stock to come under short-term pressure due to the lack of clarity.
The potential delisting of Super Micro from the S&P500 and the Nasdaq is a growing concern. If the company fails to meet the listing requirements, it could face new selling pressure from the withdrawal of passive funds.
However, it's crucial to distinguish Super Micro from the infamous Wirecard, which was conclusively exposed for massive fraud, causing catastrophic stock collapse and insolvency. While some legal actions and fraud claims persist, they remain contested, and no legal rulings have confirmed any wrongdoing by Super Micro.
Despite the challenges, Super Micro has shown resilience. The company has rebounded strongly in 2025, gaining over 60%, and even signed a major $20 billion deal with a Saudi data center operator, supporting its business legitimacy.
For those seeking alternative investments in AI, Börsenmedien AG has developed the BÖRSE ONLINE KI Index, a potential avenue to consider. However, the risks associated with investing in Super Micro should not be underestimated.
In conclusion, Super Micro's current allegations are unresolved legal disputes rather than confirmed fraud. The company’s significant deals and share price recovery suggest it is more likely facing legal pressures than the type of corporate fraud scandal that Wirecard experienced.
Investors should be cautious about Super Micro Computer's future, considering its ongoing class-action lawsuits and the termination of its auditor's contract for a special audit. Despite the company's rebound in 2025 and significant deals, the unresolved legal disputes raise concerns about the company's financial integrity. On the bright side, technology enthusiasts and those interested in AI may find alternative investment opportunities in the BÖRSE ONLINE KI Index.
