Why Super Micro Stock Is Sinking Today
Shares of Super Micro Computer (NASDAQ: SMCI) are falling on Monday, down 8.5% as of 3:30 p.m. ET. The jump comes as the S&P 500 (SNPINDEX: ^GSPC) and Nasdaq Composite (NASDAQINDEX: ^IXIC) were both up 0.8%.Super Micro announced a new debt offering that sparked concerns of dilution. The sell-off made it the worst-performing stock in the S&P 500 today.Super Micro announced it is raising $2 billion through a convertible note offering that matures in 2030. Only qualified institutional buyers can take part in the offering. The company plans to use the funds for "general corporate purposes, including to fund working capital for growth and business expansion."Continue reading
Shares of Super Micro Computer (NASDAQ: SMCI) are falling on Monday, down 8.5% as of 3:30 p.m. ET. The jump comes as the S&P 500 (SNPINDEX: ^GSPC) and Nasdaq Composite (NASDAQINDEX: ^IXIC) were both up 0.8%.
Super Micro announced a new debt offering that sparked concerns of dilution. The sell-off made it the worst-performing stock in the S&P 500 today.
Super Micro announced it is raising $2 billion through a convertible note offering that matures in 2030. Only qualified institutional buyers can take part in the offering. The company plans to use the funds for "general corporate purposes, including to fund working capital for growth and business expansion."
