This popular AI stock, which has staged a massive rally for investors at times, is currently collapsing further and further. The reason is a suspicion of fraud at the company, where shareholders are wondering whether they are invested in Wirecard 2.0. Are investors now at risk of a total loss?
Super Micro Computer shares fell double digits in American trading on Thursday. This is the second sell-off in the popular AI stock, which was recently flagged as a potential fraud candidate by Hindenburg Research and had to delay the release of official numbers.
Incidentally, this time the panic among investors is once again being driven by news that makes Super Micro Computer seem a little more like Wirecard 2.0.
Popular AI stock continues to collapse
Because on Thursday a report from the Wall Street Journal appeared after Super Micro Computer was apparently under investigation by the US Department of Justice. The move comes as the U.S. Attorney’s Office in San Francisco is requesting more information after a former employee accused the company of false accounting.
According to the report, the investigations are still at a very early stage, but investors reacted extremely negatively to the report after allegations of fraud had already been mentioned in the past.
Are investors now at risk of total loss?
Accordingly, investors are currently worried about whether there could be a total loss in Super Micro Computer shares. After all, many investors still have memories of cases like Wirecard.
However, it cannot currently be estimated whether this is actually the case. Investors should be cautious now and wait for the company’s upcoming numbers next week. Here the doubts about the accuracy of the respective results are likely to be dispelled or confirmed.
Super Micro Computer
(WKN: A0MKJF)
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