By Mackenzie Tatananni and Elsa Ohlen

It's deadline day for Super Micro Computer. There is still no sign of its long-delayed earnings reports.

The Nasdaq set Tuesday as the deadline for the company to file its financials for the full fiscal year that ended on June 30 and the three months that ended on September 30. If Super Micro doesn't comply, its stock could be delisted from the exchange.

The company delayed filing its financial results in August after short-seller Hindenberg Research issued a report that alleged multiple issues including so-called "accounting red flags."

Super Micro denied any wrongdoing in a securities filing, asserting that the Hindenburg report contained "false or inaccurate statements about our company including misleading presentations of information."

Nasdaq granted the company an extension to file its results after its former auditor Ernst & Young resigned in October, citing "an unwillingness to be associated with the financial statements prepared by management." Super Micro appointed BDO as its new auditor the following month.

In an update to investors on February 11, Super Micro said it is working "diligently" toward filing the results and believed it would meet today's deadline.

This isn't the first time Super Micro hasn't complied with the Nasdaq. The stock was delisted from the exchange in August 2018 for delaying the filing of financial reports. It was then listed again in January 2020.

Shares of Super Micro tumbled 8.5% to $47.22 on Tuesday ahead of the deadline, making Super Micro the second-worst performer in the S&P 500. The index was down 0.7%.

The stock has fallen nearly 22% over the past four days, marking the worst four-day streak since mid November when it fell 27%.

However, shares are still up 55% since the start of this year, an indication that the former AI darling still has some investors' confidence.

If Super Micro is delisted from the Nasdaq, the company has options, according to Chris Manderson, chair of the corporate department at the law firm Ervin Cohen & Jessup. The first step: Super Micro must file its missing reports.

"If a registrant is delisted from Nasdaq and wants to relist, it must meet all Nasdaq's initial listing requirements again," Manderson said.

This includes standards regarding stockholders' equity, market value, and a $4 minimum share price. The company will only be relisted following a thorough investigation and review.

Delisted stocks don't vanish into thin air. In the meantime, they can trade in over-the-counter markets, which don't use a centralized exchange and are therefore harder for everyday investors to access.

Manderson emphasized that delisting is not a "death sentence for the company." However, it could mean that Super Micro's market capitalization and fundraising prospects will likely suffer.

"The major institutional investors generally will not hold anything that's not listed on Nasdaq and New York Stock Exchange," Manderson said. "They're often not allowed to, due to their investment guidelines. And they will dump the stock because they can't hold it."

The timeline for a relisting isn't quick, either.

"Regaining approval can take several months or longer, cost hundreds of thousands of dollars, and is up against serious scrutiny from Nasdaq and regulators," Manderson said.

Write to Mackenzie Tatananni at mackenzie.tatananni@barrons.com and Elsa Ohlen at elsa.ohlen@barrons.com

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February 25, 2025 14:55 ET (19:55 GMT)

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