SMCI recently plunged on news of its accounting firm's exit and possible delisting all the while Nvidia continued to show confidence in the company with big orders. I thought, perfect dissonance! and decided to day/swing trade it. It's a perfect candidate with a cheap share price and occasional double digit swings. It also was about to have a come to Jesus moment to meet regulatory deadlines and mounting pressure. Prior to their reporting deadline I'd traded successfully, in the 38 to 43 range with 2k shares lots, but my real interest was a pop to 50 depending on their reported numbers. That was last week... The reporting came out and.... It was a fizzle. Yes, they would file by deadline, their numbers came slightly below expectations but the future looked so bright they needed to wear shades... Nothing sufficiently exciting to warrant a significant share movement. So I sold off before an expected disappointment drop and decided to do a bit more research on the business. That's when I came across and read the Hindenburg Report that caused the original massive share value drop. It reads like a typical fast growing Chinese business trying to maximize personal wealth by involving all family members setting up businesses to launder pretax profits, something no reasonable investor should risk their hard earned money in, although traders could, as I had, get away with nice returns. So I decided to give myself a few days reflection. Since their reporting the share price had slowly dropped from 43 to 38 and back to 40. But, with underwhelming reporting there seemed no reason for a pop to 50 while the delisting remains a question mark. And I blinked. And it hit 48. Bitch!
I guess you bought SMCI a few days ago when there were significant increase in volume accompanied by rising price due to whatever news/events. Congrats to you/your slippery mistress or whatever.
They have the 2x etfs and damn they look like a good short. I'll wait until smci climbs more and short the 2x etfs. With this news of a delistong still surrounding the company anyone owning this stock should take gains where they see them. I think there is still risk in this once high flyer that could do no wrong.
There was news that a pension fund went all in on this stock a couple of weeks ago. That could have been some of the reason for the big gains the last few weeks..
I started buying when it was $40-$50 before the split when it had a P/E of 6-7. I sold most of my shares at around $750. At that price it was fully valued. I think it will get there again. 2 closes above $50 will be the trigger higher.
Remember, in December the DOJ asked them for documents. Holding this overnight could be very dangerous.