Super Micro Computer (NASDAQ:SMCI) Trading Up 2% After Analyst Upgrade

Super Micro Computer, Inc. (NASDAQ:SMCI) shares shot up 2% during trading on Friday after Zacks Research upgraded the stock from a hold rating to a strong-buy rating. The company traded as high as $37.67 and last traded at $37.24. Approximately 36,198,789 shares were traded during trading, a decline of 20% from the average daily volume of 45,434,992 shares. The stock had previously closed at $36.50.

Several other brokerages have also recently issued reports on SMCI. Stifel Nicolaus set a $42.00 price objective on Super Micro Computer in a research note on Wednesday, August 12th. Needham & Company LLC reiterated a “buy” rating and issued a $46.00 target price on shares of Super Micro Computer in a research report on Wednesday, August 12th. Raymond James Financial reiterated an “outperform” rating and issued a $48.00 target price on shares of Super Micro Computer in a research report on Wednesday, August 12th. Wedbush increased their price target on shares of Super Micro Computer from $34.00 to $40.00 and gave the stock a “neutral” rating in a report on Wednesday, August 12th. Finally, Bank of America reissued an “underperform” rating on shares of Super Micro Computer in a research report on Wednesday, August 12th. One equities research analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, eleven have assigned a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average price target of $42.13.

Super Micro Computer News Summary

Here are the key news stories impacting Super Micro Computer this week:

• Positive Sentiment: Northland Securities raised its earnings forecasts. The firm lifted its FY2027 EPS estimate to $3.78 from $3.16, with increases for each quarter of fiscal 2027. It also projects $4.80 in FY2028 EPS, suggesting expectations for continued growth in AI-server demand. Northland Securities earnings estimates
• Positive Sentiment: Broader earnings revisions are supporting the stock. Zacks said estimates for Super Micro are moving higher and included SMCI on its Rank #1 “Strong Buy” value-stocks list. The company’s relatively low valuation and exposure to expanding AI infrastructure spending are key attractions. Earnings estimates moving higher for Super Micro
• Positive Sentiment: An independent investigation largely cleared senior management. Super Micro said investigators found no evidence that CEO Charles Liang or other senior executives knew about an alleged Nvidia-chip diversion scheme, or that the company directly sold export-controlled products to known restricted parties. Removing some management-related compliance risk appears to have improved investor sentiment. Supermicro investigation clears CEO
• Neutral Sentiment: AI infrastructure growth remains the central opportunity. Super Micro recently reported quarterly revenue of $11.12 billion, up 93.2% year over year, although it fell short of the $11.60 billion consensus estimate. Analysts continue to view the company’s scale and AI-server exposure favorably relative to some peers. Nebius versus Super Micro
• Negative Sentiment: Legal and profitability risks remain. A pending criminal trial involving a cofounder could create additional exposure, while Netlist has filed a U.S. International Trade Commission complaint alleging DDR5 memory-patent infringement. Analysts also caution that component costs, lower gross margins, working-capital needs and potential financing or dilution could limit the benefit of strong sales growth. Super Micro legal risks and valuation

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. Elyxium Wealth LLC acquired a new stake in shares of Super Micro Computer during the 4th quarter valued at about $26,000. Arax Advisory Partners purchased a new position in shares of Super Micro Computer in the 4th quarter valued at about $28,000. SHP Wealth Management acquired a new position in Super Micro Computer in the 4th quarter worth about $29,000. Concord Wealth Partners raised its holdings in Super Micro Computer by 2,564.1% in the 4th quarter. Concord Wealth Partners now owns 1,039 shares of the company’s stock worth $30,000 after purchasing an additional 1,000 shares during the period. Finally, Banque Cantonale Vaudoise purchased a new position in Super Micro Computer during the first quarter worth approximately $37,000. Institutional investors and hedge funds own 84.06% of the company’s stock.

Super Micro Computer Stock Up 2.0%

The company has a quick ratio of 2.07, a current ratio of 3.87 and a debt-to-equity ratio of 0.65. The business has a 50-day simple moving average of $30.39 and a 200-day simple moving average of $30.83. The company has a market cap of $22.40 billion, a PE ratio of 11.64, a P/E/G ratio of 0.82 and a beta of 1.95.

Super Micro Computer (NASDAQ:SMCI) last posted its quarterly earnings data on Tuesday, August 11th. The company reported $1.70 EPS for the quarter, beating analysts’ consensus estimates of $0.92 by $0.78. The business had revenue of $11.12 billion during the quarter, compared to analysts’ expectations of $11.60 billion. Super Micro Computer had a return on equity of 27.83% and a net margin of 5.71%.The business’s revenue was up 93.2% compared to the same quarter last year. During the same period in the previous year, the business earned $0.31 earnings per share. Super Micro Computer has set its Q1 2027 guidance at 1.010-1.100 EPS. Equities research analysts anticipate that Super Micro Computer, Inc. will post 4.04 EPS for the current year.

Super Micro Computer Company Profile

Super Micro Computer, Inc (Supermicro) is a technology company that designs, develops and manufactures high-performance server, storage and networking solutions for enterprise, cloud, data center, high performance computing (HPC) and edge computing customers. The company’s product portfolio includes rackmount and blade servers, storage subsystems, motherboards, chassis, power supplies and networking components, with an emphasis on high-density, energy-efficient configurations and platforms optimized for GPU-accelerated workloads and artificial intelligence applications.

Headquartered in San Jose, California, Supermicro combines in-house engineering with a global manufacturing and distribution footprint to deliver configurable, application-specific systems.