Super Micro: Why I'm Loading Up Shares

Yiannis Zourmpanos profile picture
Yiannis Zourmpanos
7.52K Followers
(8min)

Summary

  • SMCI's appointment of BDO as its independent auditor significantly reduces Nasdaq delisting fears and restores investor confidence.
  • BDO’s engagement follows detailed due diligence, indicating SMCI’s financials lack material misstatements severe enough for rejection.
  • SMCI must file FY2024 and Q1 FY2025 financials by early 2025 to maintain its Nasdaq listing.
  • Cases like Marvell Technology demonstrate how a reputable auditor can restore compliance and investor trust during governance crises.
  • SMCI’s robust position in the AI infrastructure market positions it for growth once governance issues are fully resolved.

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Investment Thesis

The recent appointment of BDO USA as Super Micro Computer's (NASDAQ:SMCI) independent auditor aligns closely with the second forecasted scenario in our earlier analysis. In this scenario, we anticipated the appointment of a reputable

This article was written by

Yiannis Zourmpanos profile picture
7.52K Followers
Yiannis Zourmpanos, founder of Yiazou IQ, an AI-driven stock research platform providing all-in-one stock reports. Experience: Previously worked at Deloitte and KPMG in external/internal auditing and consulting. Education: Chartered Certified Accountant, Fellow Member of ACCA Global, with BSc and MSc degrees from U.K. business schools. Investment Style: We focus on GARP/Value stocks—high-quality, reasonably priced businesses with strong moats and significant growth potential. We prioritize fundamentals and seek stocks trading at a discount to intrinsic value, with a clear margin of safety. Our long-term approach (5-7 years) aims for wealth accumulation through compounding while emphasizing downside protection and sometimes taking contrarian views during market uncertainties.

Analyst’s Disclosure: I/we have a beneficial long position in the shares of SMCI either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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