Super Micro Computer's low net margins (6.9% TTM Dec-24) indicate a lack of competitive moat. See why I rate SMCI stock as a strong sell.

Super Micro Computer (NASDAQ: SMCI) stock continued its roller-coaster ride last week, jumping sharply in after-hours trading Tuesday after the company at last filed its delayed annual and quarterly reports with the Securities and Exchange Commission (SEC).

Super Micro Computer (SMCI), also known as Supermicro, had a roller coaster year in 2024 due to delays in financial reporting. Its auditor, EY, resigned in October 2024, citing issues with internal controls and accounting practices.