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Ebube Jones

3 AI Stocks to Buy Instead of Super Micro Computer

Dell Super Micro Computer Arista Pure Storage PSTG ANET Arista Networks Nvidia SMCI Arista Networks Inc

Super Micro Computer (SMCI) has been a darling of the AI infrastructure boom, but recent events have cast a shadow over the company's meteoric rise. On Aug. 28, the company announced a delay in filing its 10-K report for the fiscal year ending June 30, 2024, causing the stock to drop by 19% in just one day.

News of the delayed filing directly followed a short-seller report from Hindenburg Research, accusing SMCI of accounting irregularities, self-dealing, and potential sanctions violations. While JPMorgan analysts have defended the artificial intelligence (AI) server stock, Wells Fargo and CFRA are among those that have slashed their price targets on SMCI in response to this week's news.

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