Why the Super Micro Computer filing delay spooked investors

STORY: AI server maker Super Micro Computer delayed the filing of its annual report, citing a need to assess "its internal controls over financial reporting," the company said.

The delay comes one day after short-seller Hindenburg Research said it had taken a short position in the stock, alleging "accounting manipulation" at the company.

"It impugns the credibility of management to a very large extent," said Conger, who added that investors "don't want to be involved in any kind of accounting irregularities" when it comes to their investments.

Since peaking in mid-March, Super Micro shares have been in a downward spiral, losing nearly two-thirds of their value following a boom in AI stocks.