After a yearlong downtrend and an abrupt rally in February, Super Micro Computer (SMCI) is at risk of new lows ahead. The stock traded above $60 late last month after the firm filed financial statements that kept the stock listed on Nasdaq.
SMCI, however, lost 13% yesterday on March 3. Accusations of Nvidia (NVDA) supplying chips to Chinese firms despite restrictions pulled SMCI stock lower.
In the lithium mining market, Albemarle (ALB) fell by 9.19%, the biggest one-day drop in over a year. Shorts hold a 9.61% short float against ALB stock, betting the firm will not meet its break-even cash flow target in 2025. The company reported net sales of $1.2 billion in Q4. EBITDA improved across all of its business segments.
In the oil and gas E&P market, APA (APA) lost 8.74%, extending a downtrend that started in mid-February. APA closed below $19, down from the $24 peak last month. APA has a leadership issue. Management did not change its business strategy for the next three years. Instead, it supports the weak stock through repurchases worth $246 million.
APA paid $353 million in dividends in 2024. The stock yields 5.3%. However, investors may get a higher return by buying Enterprise Products Partners (EPD) at a 6.49% yield.
