Big swings up and down have become typical for Super Micro, which is caught between the hype of artificial intelligence and concerns about the firm’s finances.

Shares of Super Micro Computer Inc. SMCI slid 5.68% to $34.38 Tuesday, on what proved to be an all-around dismal trading session for the stock market, with the S&P 500 Index SPX falling 1.11% to 5,909.03 and Dow Jones Industrial Average DJIA falling 0.42% to 42,528.36.

It's been a topsy-turvy year for Super Micro Computer ( SMCI 10.91%). Once seen as the next big artificial intelligence (AI) stock, it has come crashing down to reality in recent months due to concerns about the reliability of its numbers and accounting controls.

Super Micro Computer, the server maker that has delayed filing its earnings for the past fiscal year, was heading higher on Tuesday after gaining almost 10% to start the week. The stock, which was the most volatile in the S&P 500 index last year,

Supermicro stock is surging today thanks to bullish coverage from an analyst. Lynx Equity recently published bullish coverage on the stock, and the firm thinks that new hardware from Nvidia will lift the server specialist's performance.

Super Micro Computer faced significant challenges in 2024, but the risk/reward setup for 2025 looks favorable with the potential for substantial gains. Click for my SMCI update.

In October, Ernst & Young resigned as Super Micro's auditor, resulting in a 33% stock plunge. An independent special board committee evaluated concerns from Ernst & Young and found no misconduct following a three-month investigation. The report recommended the company replace its CFO. The company said in November that BDO was its new auditor.

Super Micro stock is set to notch a yearly gain of 6%, but shares remain far below highs near $120 in mid-March.