Latest news with #SMCI
Yahoo
10 hours ago
- Business
- Yahoo
Super Micro's Stock Slumps Even as NVIDIA Tie-Up Heats Up
May 30 - Super Micro Computer Inc. (NASDAQ:SMCI) shares slid nearly 3% to $39.7 on Friday afternoon, falling 57% back from a 52-week high of $101.40 amid broader tech sector pressure. Warning! GuruFocus has detected 5 Warning Signs with SMCI. Despite trade-tariff uncertainties, SMCI finds support in its link to NVIDIA (NASDAQ:NVDA) and the rising demand for Blackwell chips. As NVDA's new AI solutions gain traction, data centers require advanced servers and cooling, areas where SMCI specializes. SMCI recently shook off past accounting concerns by installing a new auditing team, helping to restore investor confidence. That groundwork set the stage for a major win: the Saudi government tapped SMCI to build AI-focused data centers, signaling faith in its Foundry servers. NVDA's strong quarterly results have left a gap in data-center maintenance, precisely the niche SMCI can fill. With NVDA's Blackwell chips fueling orders, SMCI may see further upside as AI infrastructure spending climbs. For bulls, SMCI's role in supporting NVDA's Blackwell ecosystem offers a clear catalyst, even as tariffs and macro headwinds persist. Based on the one year price targets offered by 15 analysts, the average target price for Super Micro Computer Inc is $40.00 with a high estimate of $70.00 and a low estimate of $15.00. The average target implies a upside of +0.68% from the current price of $39.73. Based on GuruFocus estimates, the estimated GF Value for Super Micro Computer Inc in one year is $67.82, suggesting a upside of +70.72% from the current price of $39.73. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
11 hours ago
- Business
- Yahoo
Super Micro's Stock Slumps Even as NVIDIA Tie-Up Heats Up
May 30 - Super Micro Computer Inc. (NASDAQ:SMCI) shares slid nearly 3% to $39.7 on Friday afternoon, falling 57% back from a 52-week high of $101.40 amid broader tech sector pressure. Warning! GuruFocus has detected 5 Warning Signs with SMCI. Despite trade-tariff uncertainties, SMCI finds support in its link to NVIDIA (NASDAQ:NVDA) and the rising demand for Blackwell chips. As NVDA's new AI solutions gain traction, data centers require advanced servers and cooling, areas where SMCI specializes. SMCI recently shook off past accounting concerns by installing a new auditing team, helping to restore investor confidence. That groundwork set the stage for a major win: the Saudi government tapped SMCI to build AI-focused data centers, signaling faith in its Foundry servers. NVDA's strong quarterly results have left a gap in data-center maintenance, precisely the niche SMCI can fill. With NVDA's Blackwell chips fueling orders, SMCI may see further upside as AI infrastructure spending climbs. For bulls, SMCI's role in supporting NVDA's Blackwell ecosystem offers a clear catalyst, even as tariffs and macro headwinds persist. Based on the one year price targets offered by 15 analysts, the average target price for Super Micro Computer Inc is $40.00 with a high estimate of $70.00 and a low estimate of $15.00. The average target implies a upside of +0.68% from the current price of $39.73. Based on GuruFocus estimates, the estimated GF Value for Super Micro Computer Inc in one year is $67.82, suggesting a upside of +70.72% from the current price of $39.73. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Globe and Mail
2 days ago
- Business
- Globe and Mail
Does Super Micro Computer Stock (SMCI) Have More Room to Run?
(SMCI) stock has rallied 36% so far in 2025. After a rollercoaster ride last year due to several negatives, including accusations related to accounting irregularities and delay in filing of financial statements, the stock has risen in 2025 due to improved investor sentiment for the AI server maker. Nonetheless, analysts are currently divided on SMCI stock, with the average price target indicating that the stock could be range-bound. Confident Investing Starts Here: Analysts Are Divided on SMCI Stock SMCI Bulls are optimistic about its growth prospects amid the ongoing AI boom, given recent wins like the $20 billion partnership with DataVolt to develop hyperscale AI campuses in Saudi Arabia and the U.S. However, other analysts are concerned about the company's disappointing fiscal third-quarter performance and dismal guidance and a potential slowdown in AI spending due to macro pressures. Moreover, Super Micro didn't issue guidance for Fiscal 2026, citing tariff-related uncertainties. Recently, Citi analyst Asiya Merchant reiterated a Hold rating on SMCI stock with a price target of $37. Reacting to the DataVolt agreement, the 5-star analyst said that the news is a positive read-through for the underlying demand momentum for SMCI and AI infrastructure hardware players that cater to the tier 2, neo cloud, GPU as a service cloud providers, and sovereign entities. That said, Merchant remains sidelined on SMCI stock due to rising competition. Meanwhile, Raymond James analyst Simon Leopold initiated coverage of SMCI stock with a price target of $41. The 5-star analyst stated that SuperMicro has emerged as a 'market leader' in AI-optimized infrastructure. He highlighted that AI platforms now comprise nearly 70% of SMCI's topline, with the company also expanding its share of the branded AI server market. Leopold thinks that SMCI has positioned itself in a 'sweet spot' between the branded IT suppliers like Dell (DELL) and HP Enterprise (HPE), and contract manufacturers like Quanta. While tariffs and technology transitions, like Nvidia's (NVDA) Hopper to Blackwell processors, present risks over the intermediate term, Leopold believes that AI projects represent a long-term secular driver for SMCI. Further, Mizuho analyst Vijay Rakesh recently raised price targets for several AI server-related stocks, citing growing demand and momentum across the supply chain. In particular, the 5-star analyst increased the price target for Super Micro Computer stock to $40 from $32, noting the company's leadership in AI server deployments. However, Rakesh maintained a Hold rating on SMCI stock and cautioned investors about 'increasing competition and weak AI server margins.' Is SMCI Stock a Good Buy? Overall, Super Micro Computer stock scores a Moderate Buy consensus rating based on six Buys, five Holds, and one Sell recommendation. The average SMCI stock price target of $40.83 suggests that the stock could be range-bound. See more SMCI analyst ratings Disclaimer & Disclosure Report an Issue
Yahoo
2 days ago
- Business
- Yahoo
These Stocks Could Post Big Moves After Nvidia Earnings
Nvidia is scheduled to report quarterly results after the bell on Wednesday, in what could be a major test of the AI trade's resilience. Nvidia earnings are a blockbuster, market-moving event for Wall Street. Investors parse the results for any sign that AI demand or investment is waning, making the report a catalyst for AI infrastructure stocks. Most of these AI stocks are currently trading at or above their price heading into Nvidia's last earnings report at the end of February. Those results weighed heavily on the majority of AI beneficiaries. Shares of server maker Super Micro Computer (SMCI) and nuclear energy provider Vistra (VST) outpaced Nvidia's (NVDA) 8.5% decline the day after its last report, tumbling 16% and 12%, respectively. Constellation Energy (CEG), also a nuclear power provider, slumped about 7.5%. Nvidia's position as the world's largest semiconductor company has made it something of a bellwether for the entire industry. The PHLX Semiconductor Index (SOX) tumbled more than 6% after Nvidia's last report, its biggest decline since January's DeepSeek panic caused the index to nosedive. Major Nvidia competitors Broadcom (AVGO) and Advanced Micro Devices (AMD) tumbled 7% and 5%, respectively. Chip fabrication services provider Lam Research (LRCX) and memory chip maker Micron (MU) also closed sharply lower. The companies that supply data centers with essential networking equipment also tend to move on AI demand signals parsed from Nvidia's earnings. Shares of Arista Networks (ANET) slid 5% following Nvidia's February report, while fiber optic technology provider Corning (GLW) shed 2% and network provider Lumen Technologies (LUMN) dropped 4%. Granted, stocks within the AI ecosystem don't always move in tandem. Nvidia shares soared more than 9% on its earnings report one year ago, but the boost its results lent to other AI infrastructure stocks fizzled out before the day's end. Supermicro shares rose as much as 11% that day before sliding to close 3% lower. Read the original article on Investopedia
Yahoo
3 days ago
- Business
- Yahoo
Super Micro Computer (SMCI) Shares Climb 5% After Five-Day Slump
May 27 - Super Micro Computer (NASDAQ:SMCI) shares surged about 5% on Tuesday, ending a five-day slide. However, many traders remain cautious that the volatile stock may retreat. Warning! GuruFocus has detected 5 Warning Signs with SMCI. The shares have climbed about 31% month-to-date, eyeing the largest monthly advance since a 45% gain in February. The rally highlights SMCI's erratic performance after broad declines in March. Volatility accelerated in early 2024 when multibillion-dollar AI spending by Microsoft (NASDAQ:MSFT), Amazon (NASDAQ:AMZN) and other hyperscale data-centre operators stoked optimism. That enthusiasm waned after auditor Ernst & Young resigned in October 2024, raising questions about the firm's controls. Super Micro won a Nasdaq exemption in December, granting it until February to file delayed financials. Investors also face margin pressure, intense competition and weak guidance for the fiscal fourth quarter ending June 30. In April, SMCI was the most-shorted S&P 500 stock, with 21.3% of its tradable shares sold short. Based on the one year price targets offered by 14 analysts, the average target price for Super Micro Computer Inc is $40.85 with a high estimate of $73.00 and a low estimate of $15.00. The average target implies a downside of -3.89% from the current price of $42.51. Based on GuruFocus estimates, the estimated GF Value for Super Micro Computer Inc in one year is $68.74, suggesting a upside of +61.72% from the current price of $42.51. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
