$SMCI - Super Micro 🩸
Turkish series not just on TV - also in the stock market! 📺
1️⃣Super Micro stock has been starring in recent days following an ongoing economic telenovela that began with accusations by research firm Hindenburg of accounting irregularities -
2️⃣Continued with the postponement of the quarterly report from the scheduled date - and today - a twist and the CEO's first address to shareholders!
🔥 Let's begin - 🔥
According to Hindenburg's claim, Super Micro employed managers and employees who left due to reports of fraud, in addition to accounting manipulations, noting that the company was fined $17.5 million in 2020 due to accounting manipulations.
What does Hindenburg do? Broadly, the firm prepares negative reports on companies, intentionally seeking out fraud, accounting manipulations, and other scams, opens short positions, and then publishes the report. 🔎
⏺However, not many know that Hindenburg's success rate stands at only 67%. Within a one-week timeframe, the firm has a 97% success rate, which is amazing, and from there, success rates are less than 50%. 👀
Meaning, the firm makes money by moving stocks, but on the other hand, the main movement occurs in the first week of the "research report" release. ⌛️
📌 (It should be remembered that this is the same Hindenburg that reported at the end of January 2023 that the Indian Adani Group was a fraud. Since February 1, 2023, the company's stock, Adani Enterprise (ticker - ADANIENT), has soared by over 130%.)
Super Micro, a day after Hindenburg's claims, decided to postpone the submission of its quarterly report to an unknown date. The stock plunged in response. 📉
And today the story gets interesting, with a letter from Super Micro's CEO that reached us: 🔎
Super Micro CEO Charles Liang today sent a personal letter to all $SMCI shareholders, in which he addresses the recent delay in its annual report and gives his response to Hindenburg's short report. 💥
Broadly, the CEO strongly denies claims of fraud, stating that he believes past and future profits will not change and is not worried about the future, being very optimistic. 👀
*(The letter reached us - and it is here before you)
So... who said Turkish series don't happen in the stock market? 📺