Sivers Semiconductors Reeling From Short Seller Allegations, Insider Probe, and Deteriorating Fundamentals

Sivers Semiconductors shares fall 12% after short seller report alleges revenue inflation; separate insider-trading probe and weak Q1 results compound investor concerns.

The narrative around Sivers Semiconductors has shifted abruptly from AI-driven optimism to a reckoning with financial reality. A scathing short seller report, a sharp stock selloff, and a separate insider-trading investigation have converged in a week that is testing investor confidence to its limits.

Ningi Research, the short-selling firm that ignited the turmoil on June 1, accused the Swedish chipmaker of inflating its revenue through aggressive accounting practices. According to the report, at least SEK 97 million — roughly 31% of the revenue Sivers reported for 2025 — was of questionable origin, involving products not yet manufactured and government research grants counted as sales. Ningi also alleged potential violations of IFRS standards, though the claims remain unsubstantiated by any regulator.

The market reaction was swift and violent. Sivers shares plunged as much as 8% in early trading before staging a partial recovery, only to close nearly 12% lower. Trading volume exploded to more than SEK 560 million, dwarfing the SEK 350 million that changed hands in Saab, Sweden’s second most-traded stock that day. In the aftermath, the U.S. law firm Rosen Law Firm announced it was preparing a class-action lawsuit, inviting investors who bought Sivers securities to seek damages without upfront costs, on grounds that the company may have made materially misleading public statements.

The timing could hardly have been worse. Just three days before the short report, Sivers had released its first-quarter 2026 results, and the numbers painted a sobering picture. Net revenue fell 22% year-over-year to SEK 61.9 million. Adjusted EBITDA came in at minus SEK 13.8 million, while operating cash flow was a negative SEK 49.2 million. Management blamed a U.S. government shutdown in the fourth quarter of 2025, delayed defense budgets, and unfavorable currency movements for the shortfall.

Compounding the financial strain is a separate probe by the Swedish Economic Crime Authority into a possible information leak. A post on the social media platform X appeared roughly 48 hours before Sivers officially confirmed plans for a dual listing on the Nasdaq in New York. The prosecutor has recommended that Nasdaq examine the incident for potential violations of the EU Market Abuse Regulation (MAR). The investigation adds a layer of legal risk to an already clouded outlook.

Amid the barrage of negative headlines, Sivers has tried to steer attention toward its longer-term growth trajectory. The company’s opportunity pipeline has swelled 77% since the start of the year to USD 799 million. Recent milestones include a development contract with a major U.S. defense contractor, the launch of new Ka-band SATCOM chips, and the general availability of Daybreak 5G/6G circuits. In May, Sivers also completed a targeted share placement worth around SEK 125 million to strengthen its capital base. Product roadmaps for AI data-center photonics, optical interconnects, automotive LiDAR, and a 1.6T transceiver module with Jabil remain on track, with LiDAR production slated to begin in the fourth quarter of 2026.

But the gap between ambitious pipeline figures and actual booked revenue has never been wider. Every official communication Sivers issues from now on — whether on AI photonics, wireless programs, or financial performance — will be scrutinized under a harsher light. The next few weeks will reveal whether management can back its promises with concrete sales evidence, or whether the Ningi report is merely the opening act of a deeper unraveling.