The company's disappointing outlook is weighing heavily
Super Micro Computer Inc (NASDAQ:SMCI) stock is plummeting today, down 23.8% at $21.10 at last glance, after the company's current-quarter earnings and sales forecasts missed Wall Street's estimates. The computer hardware name also posted disappointing fiscal first-quarter results, while also disclosing that it had still not filed a 10-K annual report -- which was previously pushed back in late August --with uncertainty about its filing.
This isn't SMCI's first rough day in the last week. The stock fell 32.7% on Oct. 30 -- after Ernst & Young resigned as the company's auditors -- and continued its path lower since then. Earlier hitting a 52-week low of $20.20, the equity is down 25.5% in 2024 and on the short sell restricted (SSR) list amid the negative price action.
The stock has already received a handful of price-target cuts today, as well as a downgrade from J.P. Morgan Securities to "underweight." Mizuho suspended its rating due to the lack of financials. This is just the latest in a long line of bear notes over the past few months, with 11 of the 14 analysts that remain in coverage now carrying a "hold" or worse rating.
So far today, SMCI has seen 267,000 calls and 248,000 puts exchanged, which is double the options volume typically seen at this point. The weekly 11/8 12-strike put is the most popular, with new positions being bought to open there.