Why Super Micro Computer Stock Is Sliding Monday

Super Micro Computer Inc SMCI shares are trading lower Monday after the company reported preliminary third-quarter financial results.

The Details: Supermicro said it anticipates third-quarter revenue of approximately $1.28 billion versus previous guidance of $1.47 billion at the midpoint. The expected shortfall is due to key new component shortages set to support Supermicro's transition to new generation product lines.

Supermicro said the shortage issues have "mostly been resolved."

"Supermicro saw record levels of engagements in our new product lines during the quarter. We secured several large design wins whose orders were impacted by these new supply chain challenges," said Charles Liang, president and CEO of Supermicro.

"The challenges are improving as we speak, and we are now well positioned to fulfill delayed deliveries and have commenced production."

Supermicro will report its third-quarter results on May 2. 

See Also: Samsung Is Driving Netlist Stock Higher Monday: What's Going On?

SMCI Price Action: Supermicro shares were down 5.91% at $100.98 at time of publication, according to Benzinga Pro.

Photo: courtesy of Supermicro.