Last mentioned: Mar 21, 2026
Co-Founder Arrest
News of a co-founder's arrest triggers a 33% stock nosedive.
DOJ Probe Escalation
Reports surface of a formal Department of Justice investigation into SMCI's financial practices.
Auditor Resignation
Ernst & Young resigns, citing concerns over internal controls.
Hindenburg Report
Short-seller alleges accounting manipulation and sanctions evasion.
Super Micro Computer Inc. (SMCI) experienced a massive sell-off after news broke of a co-founder's arrest, compounding existing regulatory and governance concerns. The 33% drop marks one of the most significant single-day declines for the AI server manufacturer in recent history.