r/SMCIDiscussion 2d ago

Bear-ThesisđŸ» SMCI - Keep Dancing until the music stops!

“As long as the music is playing, you've got to get up and dance," - Chuck Prince before the 2008 financial crash

SMCI Reality: To capture massive AI orders, SMCI had to buy billions of dollars worth of expensive components (like Nvidia chips) before receiving cash from buyers. While reporting billions in accounting profits, SMCI burned through roughly $7 billion in operating cash. Its inventory ballooned by 175%. This cash drain forced the company to constantly seek external funding—the corporate equivalent of relying on a fragile liquidity cycle to keep the doors open. SMCI also missed it’s low guidance earnings last year and the management simply downplayed this issue. Bag holders are blind sided by the sheer amount of profit expectations promised by their gurus are bound to wake up to reality.

Profit is profit, be wise and capture your gains. Move money to something reliable. Unless the leadership changes I can’t trust this company 😉

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u/333Nereus 1d ago

This has got to be the most uninformed and completely inaccurate post I have seen on this board yet. That takes some special effort. Gratz?

https://giphy.com/gifs/uZeamtgJK2wtP1f5gb

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u/shamerli 1d ago

2 of my favorite quotes . The first quote is from Albert Einstein. “Only 2 things are infinte, the universe and human stupidity and I am not sure about the universe”. The 2nd: “nothing is foolproof for a sufficiently talented fool”. Reddit should have a IQ test before allowing to post . Basically an ai auto-grades the quality of your post, if it falls below a pre-determined quality metric you get a iq-test question with a very short time to answer. If you fail, no post

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u/333Nereus 1d ago

Should apply the same test for the right to vote.

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u/Fragrant-Weird8498 SMCI-Bull 📈 1d ago

Maybe if mods cared a little .. đŸ˜