super microcomputer (SMCI) shares plunged Tuesday after the data center specialist announced an initial public offering.
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The San Jose, California-based company announced it will sell an additional 2 million shares of its common stock, bringing the total number of outstanding shares to more than 58.5 million.
“The primary purpose of this offering is to obtain additional capital to support our operations, including the purchase of inventory and other working capital purposes, expansion of manufacturing capacity, and increased research and development (R&D) investment.” said Supermicro. Regulatory filing.
Super Micro is one of the big winners in the AI investment boom spurred by excitement around generative artificial intelligence.
Through Monday’s close, Supermicro shares had soared 252% this year. And in the past 12 months, he has skyrocketed by 824%.
Supermicro stocks are featured on two IBD lists
In the stock market’s morning trading, Super Micro stock fell more than 11% to 885.20.
Supermicro shares have fallen sharply since the company released its Beat & Raise earnings report for the December quarter on January 29th.
According to , Supermicro stock ranks No. 1 out of 16 stocks in IBD’s Computer Hardware industry group. IBD inventory diagnosis.
In addition, it is featured on two IBD inventory lists: big cap 20 and technology leaders.
Follow Patrick Seitz on X (formerly Twitter). @IBD_PSeitz Check out more articles on consumer technology, software, and semiconductor stocks here.
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