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High-end server company Supermicro has completed a 10-to-1 stock split, with shares opening on a post-split basis on Tuesday. Here’s what to know. Since the end of August, Super Micro Computer, Inc. has had a rough time.

SMCI stock rose nearly eightfold over the past two years—from about $60 per share in September 2022 to levels of about $460 today, led by strong demand for servers.

Super Micro will start trading on a split-adjusted basis ahead of Tuesday's open. Here's what that means for investors.

Companies generally decide on stock splits when their shares have climbed considerably, reaching levels investors may not want to pay, even if valuation remains reasonable. For example, Nvidia and Broadcom shares traded above $1,000 prior to their stock splits, a level that could represent a psychological barrier for some investors.

Super Micro Computer joined a growing list of semiconductor companies that have split their stocks after the market closes on Monday. A 10-for-1 stock split will take effect after trading ends, which means the shares will begin trading on a post-split basis starting on Tuesday.