SAN FRANCISCO, CA / ACCESSWIRE / October 21, 2024 / National plaintiffs law firm Lieff Cabraser Heimann & Bernstein, LLP encourages investors in Super Micro Computer, Inc. ("Super Micro" or the "Company") (NASDAQ:SMCI) who suffered losses from purchasing Super Micro securities between February 2, 2021 and September 25, 2024, inclusive(the "Class Period"), to contact us immediately regarding a pending securities class action against Super Micro. The deadline to apply to be lead plaintiff is October 29, 2024.
Class Period: February 2, 2021 and September 25, 2024
Lead Plaintiff Motion Deadline: October 29, 2024
Case information: lieffcabraser.com/securities/supermicro
Contact us: Email or text investorinfo@lchb.com or call 1-800-541-7358
Super Micro develops, manufactures, and sells server and storage systems for various markets, including data centers, cloud computing, artificial intelligence, telecommunications networks, and edge computing.
The action alleges that during the Class Period, Super Micro misrepresented and failed to disclose materially adverse facts, including that Super Micro: (i) has engaged in a variety of improper accounting and sales practices; (ii) has engaged in a number of undisclosed related-party transactions with companies owned and/or controlled by the CEO's family members; and (iii) has evaded U.S. export controls, resulting in the illegal shipment of a significant amount of products to Russia.
On August 27, 2024, before the market opened, Hindenburg Research ("Hindenburg") released a report based on extensive research of public and nonpublic sources revealing that Super Micro has engaged in a dubious accounting and sales practices, just years after the SEC fined it $17.5 million for similar misconduct. Super Micro has continued to engage in improper revenue recognition, recognition of incomplete sales, and circumvention of internal accounting controls. Relatedly, the Hindenburg report revealed the extent of known relationships with certain related-party suppliers as well as previously undisclosed relationships, all with entities controlled by the brothers of Super Micro CEO Charles Liang. In addition, according to the Hindenburg report, Super Micro was apparently shipping products to Russia in violation of U.S. sanctions and export control regulations. On this news, the price of Super Micro stock declined by $14.87 per share, or 2.6%, to close at $547.64 per share on August 27, 2024.
The next day, on August 28, 2024, the Company filed a Form 8-K stating that it was unable to timely file its annual report and that additional time was needed for management to complete its assessment of the design and operating effectiveness of Super Micro's internal controls over financial reporting as of June 30, 2024. Analysts immediately attributed the Company's statement and delay in filing its annual report to the revelations in the Hindenburg report. On this news, the price of Super Micro stock declined by $104.35 per share, or 19.05%, to close at $443.29 per share on August 28, 2024.
On September 26, 2024, The Wall Street Journal reported that the U.S. Department of Justice ("DOJ") was investigating Super Micro, apparently in connection with allegations made by a whistleblower and former employee who accused the Company of accounting violations. On this news, the price of Super Micro stock declined by $55.75 per share, or 12.17%, to close at $402.40 per share on September 26, 2024, on extremely high trading volume.
About Lieff Cabraser
Lieff Cabraser Heimann & Bernstein, LLP, with over 125 attorneys in offices in San Francisco, New York, Nashville, and Munich, Germany, is an internationally-recognized law firm committed to advancing the rights of investors and promoting corporate responsibility. Repeatedly recognized as a "Plaintiffs' Powerhouse" by Law360, Lieff Cabraser has litigated some of the most important civil cases in the United States, and has assisted clients in recovering over $129 billion in verdicts and settlements. For over 50 years, Lieff Cabraser has remained committed to ensuring access to justice for all.
Source/Contact
Sharon Lee
Lieff Cabraser Heimann & Bernstein, LLP
415 956-1000
slee@lchb.com
SOURCE: Lieff Cabraser Heimann & Bernstein, LLP
View the original
press release on accesswire.com
