Hindenburg Research has uncovered evidence of big problems with a major AI hardware provider.
Investment research firm Hindenburg Research has released a report alleging that server component supplier Super Micro Computer is a “serial recidivist” with a host of accounting and sanctions issues and other irregularities.
Hindenburg Research spent three months investigating the $35-billion company. It compiled exhaustive evidence from public records and interviews with former Super Micro employees and sources at its trading partners. The investigation noted that those developments took place as Super Micro was losing market share and experiencing customer service issues.
The red flags uncovered by Hindenburg Research are reminiscent of those that led to the United States Securities and Exchange Commission issuing a cease-and-desist order against Super Micro and its chief financial officer, Howard Hideshima, in 2020, it said. The SEC action followed the rehiring of executives who left after Super Micro’s delisting from the Nasdaq exchange in 2018 for failing to file financial statements.
