Super Micro Computer’s shares fell to $54|Solomon203|CC BY-SA 4.0
Super Micro Computer’s shares plunged 12% on Thursday after the Wall Street Journal revealed that the Department of Justice (DOJ) is investigating the company for accounting manipulation.
Super Micro manufactures computers used as servers for various applications, including AI and counts major firms like Nvidia, AMD and Intel among its customers.
The DOJ probe follows a critical report from activist short-seller Hindenburg Research, which raised concerns about “glaring accounting flags, evidence of undisclosed related party transactions.”
A San Francisco prosecutor is seeking information about a whistleblower lawsuit filed by a former employee alleging accounting violations.