:max_bytes(150000):strip_icc()/GettyImages-2155472685-af661b5e61f34c47be945f46a3ac4e90.jpg?w=1500&resize=1500,1001&ssl=1 "Supermicro Stock Surges on Reports of Plan to Avoid Delisting")
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Key Takeaways
- Super Micro Computer shares soared in extended trading Friday following reports the company is expected to file a plan for its delayed annual report by Monday that could help it avoid delisting.
- The Nasdaq warned Supermicro it would be delisted if it does not file the report or submit a plan by Monday.
- Shares of Supermicro have taken a hit in recent months on regulatory concerns following allegations of accounting manipulation and other issues.
Super Micro Computer (SMCI) shares soared over 18% in extended trading Friday following reports that the company is expected to file a plan for its delayed annual report that could help it avoid delisting.
A report from Barron’s, citing a person familiar with the matter, said the company intends to submit the plan by Monday.
Supermicro said it received a letter from the Nasdaq on Sept. 17 warning it would be delisted if it does not file the delinquent report or submit a plan within 60 days, or by Nov. 16, making Monday the effective date for the submission.Â
The company earlier this week said it would not be able to submit its annual report on time, and that its first-quarter filing would be delayed as well, requiring more time to prepare the statements and hire a new auditor after EY resigned from the job.
Shares of Supermicro have taken a hit in recent months on regulatory concerns following allegations of accounting manipulation and other issues. They were down over 34% for the year through Friday’s close.
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