Latest news with #SuperMicroComputer
CNBC
15 hours ago
- Business
- CNBC
A big comeback month ends. Investors might be mistaken thinking all is well
Stocks roared back to life in May, but trouble still looms for Wall Street. The S & P 500 and Dow Jones Industrial Average are up 6.2% and 3.8%, respectively, in May. Both benchmarks are on pace to snap three-month declines. The Nasdaq Composite advanced nearly 10% this month, on track for its best month since November 2023. The U.S. pausing tariffs on China boosted stocks, easing concerns that protectionist trade policies could tip the economy into a recession. Technology investors in particular, which face a high tariff risk, breathed a collective sigh of relief. The sector is up 11.3% in May, led by gains in Nvidia and Super Micro Computer . .SPX mountain 2025-05-01 SPX in May But CLSA strategist Alexander Redman warns the market could soon be in for a rude awakening. "We fear the current market complacency may prove temporary, replaced by a realization that household and corporate spending plans and thus U.S. growth may disappoint," Redman wrote in a note Thursday. Trade worries flared up once again this week. A U.S. federal trade court struck down Trump's reciprocal levies Wednesday night, then an appeals court reinstated them a day later. Trump also said Friday in a Truth Social post that China " violated " its current trade agreement with the U.S., while Treasury Secretary Scott Bessent noted talks between the two countries were "a bit stalled." "We ascribe a striking degree of complacency to the current S & P 500 price action which is seemingly discounting a rapid normalization across multiple sentiment indicators damaged as a consequence of Trump's policy unorthodoxy," Redman at CLSA added. "This extends beyond trade to unfunded tax cuts, some disruption to labor owing to the threat of deportation, and arbitrary cuts to government agencies, among other concerns."
CNA
a day ago
- Business
- CNA
Dell raises full-year profit forecast on strong AI server demand
Dell Technologies raised its annual profit forecast on Thursday, signaling growing demand for its AI-powered servers that are equipped with Nvidia's powerful chips. Companies such as Dell and Super Micro Computer have benefited from the growing demand for these servers, but the high cost of producing them and tough competition have pressured margins. "We generated $12.1 billion in AI orders this quarter alone, surpassing the entirety of shipments in all of FY25 and leaving us with $14.4 billion in backlog," Dell's Chief Operating Officer Jeff Clarke said. The results follow the U.S. Department of Energy's announcement on Thursday that it would launch a new supercomputer, named Doudna, which will use Dell and Nvidia's advanced technology to perform complex computing tasks. Dell now expects annual adjusted profit to be $9.40 per share, compared with its prior forecast of $9.30 per share. The company reiterated its annual revenue outlook. It forecast second-quarter revenue to be between $28.5 billion and $29.5 billion, above analysts' average estimate of $25.05 billion, according to data compiled by LSEG. Dell's adjusted profit forecast for the second quarter of $2.25 per share was also above estimates of $2.09. First-quarter revenue came in at $23.38 billion, compared with estimates of $23.14 billion. Dell's revenue from its infrastructure solutions group, which includes storage, software and server offerings, rose 12 per cent to $10.32 billion. Revenue from its client solutions group, that houses its PC business, rose 5 per cent to $12.51 billion. On an adjusted basis, the company earned $1.55 per share in the first quarter, missing estimates of $1.69.
Reuters
a day ago
- Business
- Reuters
Dell raises full-year profit forecast on strong AI server demand, shares rise
May 29 (Reuters) - Dell Technologies (DELL.N), opens new tab raised its annual profit forecast on Thursday, signaling growing demand for its AI-powered servers that are equipped with Nvidia's (NVDA.O), opens new tab powerful chips, sending the computer hardware maker's shares up 10% in extended trading. Companies such as Dell and Super Micro Computer (SMCI.O), opens new tab have benefited from the growing demand for these servers, but the high cost of producing them and tough competition have pressured margins. "We generated $12.1 billion in AI orders this quarter alone, surpassing the entirety of shipments in all of FY25 and leaving us with $14.4 billion in backlog," Dell's Chief Operating Officer Jeff Clarke said. The results follow the U.S. Department of Energy's announcement on Thursday that it would launch a new supercomputer, named Doudna, which will use Dell and Nvidia's advanced technology to perform complex computing tasks. Dell now expects annual adjusted profit to be $9.40 per share, compared with its prior forecast of $9.30 per share. The company reiterated its annual revenue outlook. It forecast second-quarter revenue to be between $28.5 billion and $29.5 billion, above analysts' average estimate of $25.05 billion, according to data compiled by LSEG. Dell's adjusted profit forecast for the second quarter of $2.25 per share was also above estimates of $2.09. First-quarter revenue came in at $23.38 billion, compared with estimates of $23.14 billion. Dell's revenue from its infrastructure solutions group, which includes storage, software and server offerings, rose 12% to $10.32 billion. Revenue from its client solutions group, that houses its PC business, rose 5% to $12.51 billion. On an adjusted basis, the company earned $1.55 per share in the first quarter, missing estimates of $1.69.
Yahoo
2 days ago
- Business
- Yahoo
Spotlight On 3 Growth Companies With Significant Insider Ownership
The United States market has shown robust performance, climbing 4.5% in the last 7 days and rising 11% over the past year, with earnings forecasted to grow by 14% annually. In this thriving environment, growth companies with significant insider ownership can be particularly appealing as they often reflect strong confidence from those most familiar with the company's potential and strategic direction. Name Insider Ownership Earnings Growth Super Micro Computer (NasdaqGS:SMCI) 14.1% 37.4% Duolingo (NasdaqGS:DUOL) 14.3% 39.9% AST SpaceMobile (NasdaqGS:ASTS) 13.4% 64.6% FTC Solar (NasdaqCM:FTCI) 27.9% 61.8% Credo Technology Group Holding (NasdaqGS:CRDO) 12.1% 65.1% Astera Labs (NasdaqGS:ALAB) 15.1% 44.8% Niu Technologies (NasdaqGM:NIU) 36% 82.8% BBB Foods (NYSE:TBBB) 16.2% 30.2% Enovix (NasdaqGS:ENVX) 12.1% 58.4% Upstart Holdings (NasdaqGS:UPST) 12.5% 102.6% Click here to see the full list of 194 stocks from our Fast Growing US Companies With High Insider Ownership screener. Let's uncover some gems from our specialized screener. Simply Wall St Growth Rating: ★★★★☆☆ Overview: Sportradar Group AG operates as a provider of sports data services for the sports betting and media industries across various regions including Switzerland, the United States, and others, with a market cap of approximately $7.00 billion. Operations: The company's revenue segments include Data Processing, which generated €1.15 billion. Insider Ownership: 30.6% Earnings Growth Forecast: 32.2% p.a. Sportradar Group is experiencing strong growth, with earnings forecast to increase significantly by 32.2% annually, outpacing the US market. Recent Q1 2025 results showed a substantial revenue rise to €311.23 million and a net income turnaround from a loss last year. The company trades below its fair value estimate and has no recent insider trading activity. With over $350 million in cash and no debt, Sportradar is positioned for strategic investments and acquisitions to enhance margins beyond 30%. Take a closer look at Sportradar Group's potential here in our earnings growth report. The valuation report we've compiled suggests that Sportradar Group's current price could be inflated. Simply Wall St Growth Rating: ★★★★★☆ Overview: Sable Offshore Corp. is an independent oil and gas company operating in the United States with a market cap of $2.55 billion. Operations: Sable Offshore Corp.'s revenue is generated from its operations as an independent oil and gas company in the United States. Insider Ownership: 24.3% Earnings Growth Forecast: 115.3% p.a. Sable Offshore Corp. is trading significantly below its estimated fair value, with revenue forecasted to grow at 71.5% annually, outpacing the US market. Despite high volatility and substantial past shareholder dilution, the company is expected to become profitable within three years. Recent Q1 results showed a reduced net loss of US$109.54 million compared to last year. Legal challenges persist, but ongoing repair activities continue following a court decision favoring Sable Offshore against regulatory enforcement actions. Click to explore a detailed breakdown of our findings in Sable Offshore's earnings growth report. Our valuation report unveils the possibility Sable Offshore's shares may be trading at a premium. Simply Wall St Growth Rating: ★★★★☆☆ Overview: Workiva Inc. offers cloud-based reporting solutions globally, with a market capitalization of approximately $4.02 billion. Operations: The company's revenue is primarily derived from its data processing segment, which generated approximately $769.29 million. Insider Ownership: 10.6% Earnings Growth Forecast: 80.1% p.a. Workiva is experiencing significant revenue growth, with a 15.2% annual increase forecasted to outpace the US market's average. Despite reporting a Q1 net loss of US$21.37 million, the company maintains its full-year revenue guidance between US$864 million and US$868 million. While insider selling has been substantial recently, analysts expect the stock price to rise by 39.6%. Workiva has completed a share buyback worth US$40.11 million, enhancing shareholder value amidst negative equity concerns. Click here to discover the nuances of Workiva with our detailed analytical future growth report. Our comprehensive valuation report raises the possibility that Workiva is priced lower than what may be justified by its financials. Click through to start exploring the rest of the 191 Fast Growing US Companies With High Insider Ownership now. Ready To Venture Into Other Investment Styles? Trump's oil boom is here — pipelines are primed to profit. Discover the 22 US stocks riding the wave. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks analysis only considers stock directly held by insiders. It does not include indirectly owned stock through other vehicles such as corporate and/or trust entities. All forecast revenue and earnings growth rates quoted are in terms of annualised (per annum) growth rates over 1-3 years. Companies discussed in this article include NasdaqGS:SRAD NYSE:SOC and NYSE:WK. Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@ 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
2 days ago
- Business
- Yahoo
2 Beaten-Down Tech Stocks to Watch in June
The recent market turmoil has provided investors with an opportunity to seek out deals in the market. Alphabet and Super Micro Computer trade at sharp discounts. But is it time to buy? 10 stocks we like better than Alphabet › Even though the S&P 500 has recovered most of its losses in 2025, this has been a challenging year for some stocks as they grapple with regulatory challenges and economic uncertainty. Let's explore the pros and cons for Super Micro Computer (NASDAQ: SMCI) and Alphabet (NASDAQ: GOOGL)(NASDAQ: GOOG). Down 65% from an all-time high of $119 reached in early 2024, Super Micro Computer's stock crash predates Trump's trade war. Last year, the company was hit by a short-seller report accusing it of accounting irregularities. This crisis led to the resignation of Ernst & Young as its auditor and a delay in the submission of its required financial reports, putting the company's shares at risk of being delisted by the Nasdaq exchange. The good news is that these issues appear to be resolved. On Feb. 26, Super Micro Computer regained compliance with Nasdaq requirements after filing delayed reports for fiscal 2024 and 2025. This move follows the completion of an independent committee review, which recommended some improvements to its internal controls but found no evidence of managerial fraud or misconduct. Now that this uncertainty appears to be resolved, investors can focus on Super Micro Computer's exciting fundamentals. Super Micro turns graphics processing units (GPUs) made by partners like Nvidia and Advanced Micro Devices into user-ready computer servers. And so far, the AI hardware industry shows no signs of slowing down as companies push to stay competitive in this rapidly evolving industry. The continued rollout of Nvidia's popular Blackwell AI chips could help turbocharge demand for the remainder of 2025 and possibly beyond. That said, the company is not without challenges. Third quarter revenue of $4.6 billion came in short of analysts' expectation of $5.42 billion, but investors should look at this in the proper context. That figure still represents a year-over-year growth rate of around 19%, which isn't too shabby for a company valued at a forward price to earnings (P/E) multiple of just 14 compared to the S&P 500 average of 24. Like Super Micro Computer, Alphabet's decline is about more than the recent trade war-related uncertainty. Investors have become increasingly skeptical about the company's future due to the rising likelihood of antitrust regulation, which could lead to the breakup of certain aspects of its business. With that said, investors may be overreacting to the situation. Last year, a federal judge ruled that Google held an illegal monopoly in the search industry. In response, the Justice Department wants to force Google to divest its Chrome browser, arguing that the platform gives Google monopoly power over online search and advertising by allowing it to steer a massive amount of internet traffic to its search engine. While Google currently has no plans to sell Chrome, investors should consider the possibility that this or similar outcomes could be imposed on it. Another big threat could come from the rise of generative AI applications like OpenAI's ChatGPT which could take consumer attention away from traditional search engines. The good news is that Alphabet's valuation already prices in a worst-case scenario. With a forward price-to-earnings (P/E) multiple of just 18, shares trade at a discount to the Nasdaq-100 average of 27. And that's cheap for a company that grew its profits by 46% in the first quarter. More importantly, Alphabet's economic moat is arguably the strongest in the world. And while antitrust regulation could chip away at this advantage, it won't destroy it. The company's Google search engine is so ubiquitous and popular that people will likely still want to use it, even if a different company owns the Chrome browser. The challenges from AI look much more daunting. But Google's popularity could allow it to retain users by integrating AI results into its existing search businesses to keep customers from going elsewhere. Before you buy stock in Alphabet, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Alphabet wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $653,389!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $830,492!* Now, it's worth noting Stock Advisor's total average return is 982% — a market-crushing outperformance compared to 171% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of May 19, 2025 Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. Will Ebiefung has positions in Super Micro Computer. The Motley Fool has positions in and recommends Advanced Micro Devices, Alphabet, and Nvidia. The Motley Fool has a disclosure policy. 2 Beaten-Down Tech Stocks to Watch in June was originally published by The Motley Fool Sign in to access your portfolio
