SMCI is trading at $22.46 (+4.08%) today, extending a recovery from yesterday's +5.11% gain as the stock attempts to bounce back from a -33.32% plunge triggered by federal indictments against co-founder Wally Liaw.
- The co-founder faces charges for smuggling $2.5B in AI servers to China, raising significant reputation risks that have overshadowed strong Q2 revenue of $12.68B (up 123%).
- Citi recently lowered its price target to $25 citing export-control issues and margin compression to 6.3%, though today's price action bucks a 0.54% decline in the NASDAQ.