NEW YORK, July 5, 2026, 15:05 EDT
- Super Micro finished the holiday week at $27.22, off 1.0% from its $27.50 pricing in the June stock sale and down 11.1% from where it closed on June 26.
- The planned $7.0 billion equity deal is roughly 37% of Super Micro’s current market cap and comes out to about 18% of the $39 billion AI server order total it shared with investors.
- Taiwanese authorities detained two Super Micro staff as part of an investigation into AI servers using Nvidia NASDAQ:NVDA hardware, but the firm’s Chief Revenue Officer Matt Thauberger said Super Micro isn’t a target.
- Nasdaq and NYSE will resume trading Monday. Both were shut July 3 for the Independence Day holiday.
Super Micro Computer, Inc. NASDAQ:SMCI starts the week with shares trading below the recent capital-raise level. Investors are sticking to a cautious stance on the AI server company, weighing the $39 billion order headline against possible costs.
U.S. stock markets were closed Friday, July 3, for Independence Day observed. Nasdaq says regular trading runs from 9:30 a.m. to 4 p.m. ET. Markets reopen Monday, July 6.
Shares closed at $27.22 on Thursday, off 1.56% for the day. That’s down from $30.63 at last week’s close on June 26, an 11.1% fall for the week. The Nasdaq Composite added 2.1% and the S&P 500 rose 1.8% for the week. Chip stocks dropped heading into the long weekend.
| Instrument | Last close/quote | Day move | Week move |
|---|---|---|---|
| Super Micro Computer, Inc. NASDAQ:SMCI | $27.22 | fell 1.56% | dropped 11.1% |
| Nasdaq Composite | 25,832.67 | slipped 0.80% | rose 2.1% |
| S&P 500 | 7,483.24 | was flat | moved up 1.8% |
| Dow Jones Industrial Average | 52,900.07 | added 1.14% | advanced 2.0% |
$27.50 is the level to watch. Super Micro sold 45,454,545 common shares at that price on June 11. The stock ended Thursday just 28 cents under the offer price. The deal also had 75 million depositary shares at $50 each, plus an at-the-market stock program of up to $1.25 billion. Altogether, that could bring in $7.0 billion.
| Funding item | Figure | Investor read-through |
|---|---|---|
| Common stock sale price | $27.50 a share | Stock finished 1.0% under Thursday’s close |
| Common stock sold | 45.45 million shares | Gross raise of roughly $1.25 billion, not counting the option |
| Depositary shares | 75.0 million at $50 | Brings in $3.75 billion on the mandatory convertibles |
| Preferred rate | 7.0% a year | Pays around $262.5 million a year, not considering any extra allocation |
| Potential equity raise | $7.0 billion | Works out to about 37% of market cap, roughly 18% of quoted AI figure |
Why it matters: Super Micro reported $6.6 billion in cash outflow from operations in Q3. As of March 31, cash and cash equivalents were $1.3 billion, with total bank debt and convertible notes at $8.8 billion. The new financing gives the company more funds for buying components, but it comes with new stock, a mandatory-convertible preferred issue, and a 7% preferred dividend, payable in cash, shares, or both.
The order number comes with a catch. Super Micro said the roughly $39 billion in AI server orders from more than 20 customers aren’t locked in. Orders could be scrapped, postponed, or changed. The company is guiding for fiscal 2026 net sales between $38.9 billion and $40.4 billion.
The Taiwan investigation pressured the stock again. Reuters said July 2 that prosecutors in Taiwan detained two employees from Super Micro’s Taiwan arm before a court hearing. Two others got out on bail after being questioned over suspected illegal shipments of Nvidia-powered AI servers to China.
Thauberger told customers that “Super Micro is not a target of this investigation” and said authorities did not raid the company’s Taiwan offices. He added the issue had “absolutely no impact” on service and support. Supermicro
The week opens with two tests: if Super Micro trades above $27.50, and if fresh news out of Taiwan shifts the risk discount. Broader markets still offer little comfort. Bruce Zaro, managing director at Granite Wealth Management, told Reuters that chip investors were “taking profits” after the gains seen this year. Reuters also reported the focus this week turns to Fed minutes and early results from Delta Air Lines and PepsiCo. Reuters
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