High-end server manufacturer Super Micro Computer won’t be delisted from Nasdaq for the time being after being granted additional time to fulfill the listing requirements.
Super Micro faced the risk of being delisted from Nasdaq last month after failing to file its annual financial report back in August. The company subsequently didn’t file a quarterly report for the first quarter of fiscal 2025 while parting ways with auditor Ernst & Young.
According to Super Micro, the company was now informed by Nasdaq that it has time until February 25, 2025, to file the previously-mentioned reports as well as other filings it is required to make.
Super Micro saw its stock soar to an all-time high of $118.81 per share in March thanks to the production of servers that can handle artificial intelligence software. Since then, the stock has plunged by more than 60% as the server maker has become a subject of several controversies. This included a report by short-seller Hindenburg Research, in which the company was accused of “accounting manipulation” and having Ernst & Young step down due to its unwillingness to be associated with “financial statements prepared by management.”
Since then, Super Micro has hired a new auditor in BDO USA while conducting an independent review of its business. The company previously stated that the review didn’t find any wrongdoings but did come with recommendations for new financial and legal leadership.
After being afforded additional time by Nasdaq to avoid delisting, Super Micro saw its stock jump by 7% and close at $43.93 per share on Friday. The company’s shares jumped by an additional 9% in the after-hours market.