Latest news with #dataCenter
Globe and Mail
14 hours ago
- Business
- Globe and Mail
Is Super Micro Computer Stock a Buy, Sell, or Hold for June 2025?
In mid-May, Super Micro Computer (SMCI) unveiled its Data Center Building Block Solutions (DCBBS). The turnkey system is engineered to accelerate the establishment of liquid-cooled AI data centers while optimizing cost-efficiency. Set for deployment within three months, the solution brings together precision manufacturing, advanced management software, full-spectrum on-site services, and global reach. According to CEO Charles Liang, DCBBS goes the whole nine yards, from mapping out data center layouts to configuring network topologies and power backups. It is crafted to simplify operations and speed up AI infrastructure development. Customers could slash power usage by up to 40%, shrink data center footprint by 60%, and cut water use by 40%, driving a 20% drop in total cost of ownership. With this catalyst in mind, how should investors approach SMCI stock for June 2025? About Super Micro Stock San Jose, California-based Super Micro Computer (SMCI) has carved a solid niche in high-performance server and storage solutions, all anchored in modular and open architecture. With a market cap of $25 billion, the firm offers everything from rack mount and blade server systems to essential components that form the digital bedrock of today's enterprises. Super Micro shares have had a volatile trajectory. They are up more than 1,300% over the past five years, but have been halved over the past 52 weeks. The last month has been slightly more positive with a gain of 14%. Super Micro Misses on Q3 Earnings Super Micro's fiscal Q3 2025 painted a somber picture on May 6, as the firm came up short of Wall Street's expectations. Revenue for the quarter grew 19.5% year over year to $4.6 billion, well below analysts' consensus estimate of $5.4 billion. Non-GAAP net income plummeted by more than 50% to $194 million, with non-GAAP EPS more than halved to $0.31, missing the $0.50 projection by a wide margin. This disappointing result, however, did not catch many off guard. Late April had already seen Supermicro send up warning flares with its preliminary report. Much of the shortfall was chalked up to ' delayed customer-platform decisions, ' which, according to CEO Charles Liang, are not lost opportunities but merely postponed ones. He emphasized that many of these commitments are set to materialize in the June and September quarters, hinting that the company's long-term trajectory remains intact. Looking ahead, the company has set its Q4 revenue guidance between $5.60 billion and $6.40 billion, with non-GAAP EPS expected to range from $0.40 to $0.50. For fiscal 2025, it now anticipates revenue between $21.80 billion and $22.60 billion. In May, Supermicro also sealed a $20 billion multi-year deal with DataVolt to deploy AI server systems across Saudi Arabia and the U.S. The deal is monumental. Technology upgrades, including its direct liquid cooling platform, show that Supermicro is not resting on its laurels. Although fiscal Q4 2025 EPS is expected to fall 36.4% to $0.35 and full-year 2025 EPS by 13.9% to $1.73, analysts see a rebound next year, forecasting a 36.4% jump to $2.36 in fiscal 2026. What Do Analysts Expect for Super Micro Stock? Wall Street's verdict on the stock paints a nuanced picture, with the consensus settling at a 'Moderate Buy.' Out of 15 analysts, four are ringing the bell with a 'Strong Buy.' Meanwhile, three analysts lean toward a 'Moderate Buy.' On the sidelines, six prefer to stay put with a 'Hold,' while only two caution with a 'Strong Sell' stance. The Street-high target of $100 signals a possible surge of 143% from current levels.
Globe and Mail
2 days ago
- Business
- Globe and Mail
‘Take a Deep Breath,' Says Top Investor About Nvidia Stock
Seasons change, presidents are elected, and markets rise and fall – but Nvidia Corporation (NASDAQ:NVDA) continues to surpass expectations. Once again, the undisputed data center champion delivered top- and bottom-line beats with its Q1 Fiscal 2026 earnings report. Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter Nvidia's revenues grew 69% year-over-year to reach $44.1 billion, nicely outpacing projections by a cool $810 million. The company's lucrative data center segment is a particular point of pride, and its revenues grew even faster by 73% year-over-year to $39 billion. While the overall numbers continue to impress, it was not all sunshine and rainbows. Revenue growth – while the envy of many – is slowing, and margins – while north of 60% – also declined. Of course, a fair amount of the shrinking margins can be blamed on a $4.5 billion charge related to H20 GPUs that the company was not allowed to ship to China. The big question, however, is how the share price will react going forward. NVDA has been up-and-down quite a bit in 2025 – and all told its share price is roughly even year-to-date. That being said, since hitting a low point in early April, NVDA has risen over 40%. While top investor Jonathan Weber applauds Nvidia's revenue growth, he is not so sure that now is the time to jump on board. 'With Nvidia trading at more than 30x forward earnings again, following huge gains over the last couple of weeks, it is not as attractive as it was during the spring selloff,' explains the 5-star investor, who is in the top 2% of TipRanks' stock pros. While Weber deems that revenue growth is excellent indeed, it is not exactly 'extraordinary' for a company that has delivered growth rates up to 270% in the recent past. Moreover, it represents a declining trend. 'Momentum is thus not on Nvidia's side, which can be explained by factors such as tough comparisons and the law of large numbers — no company can grow at an extremely high growth rate forever, not even Nvidia,' adds Weber. Acknowledging that NVDA has been quite 'volatile' this year, Weber still sees plenty of growth up ahead. Whether or not that justifies buying NVDA at present is another story, however. 'Overall, I do not think that NVDA is a bad investment right here at all, but I also do not believe that it's a must-own,' concludes Weber, who assigns NVDA a Hold (i.e. Neutral) rating. (To watch Jonathan Weber's track record, click here) Wall Street, on the other hand, is 'all in' on Nvidia. With 33 Buys, 4 Holds, and 1 Sell, NVDA enjoys a Strong Buy consensus rating. Its 12-month average price target of $165.29 has an upside north of 20%. (See NVDA stock forecast) To find good ideas for stocks trading at attractive valuations, visit TipRanks' Best Stocks to Buy, a tool that unites all of TipRanks' equity insights. Disclaimer: The opinions expressed in this article are solely those of the featured investor. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.
Yahoo
2 days ago
- Business
- Yahoo
MangoBoost and AIC Sign MoU to Explore Collaboration on DPU-Based Server and Storage Solutions
BELLEVUE, Wash., May 30, 2025--(BUSINESS WIRE)--MangoBoost, a provider of cutting-edge system solutions for maximizing compute efficiency and scalability, and AIC Inc., a global leader in enterprise server and storage solutions, announced the signing of a Memorandum of Understanding (MoU) to explore potential collaboration in developing and promoting advanced computing technologies. The MoU sets the framework for both companies to engage in discussions focused on integrating MangoBoost's cutting-edge Data Processing Unit (DPU) technologies with AIC's server and storage expertise and market access. The collaboration aims to unlock new possibilities in next-generation data center solutions through joint exploration and innovation. "This MoU marks a meaningful step toward our mission to deliver more intelligent, efficient, and scalable computing platforms to the market," said Jangwoo Kim, CEO of MangoBoost. "We look forward to working closely with AIC to explore new opportunities and innovative applications for our DPU technologies in the enterprise space." David Huang, VP of Sales and Marketing at AIC stated, "Partnering with MangoBoost allows us to push the boundaries of what's possible in server and storage innovation. We believe our combined strengths can pave the way for high-performance solutions that meet evolving market demands." About MangoBoost MangoBoost is a provider of cutting-edge, full-stack system solutions for maximizing compute efficiency and scalability. At the heart of the solutions is the MangoBoost Data Processing Unit (DPU), which ensures full compatibility with general-purpose GPUs, accelerators, and storage devices, enabling cost-efficient, standardized AI infrastructure. Founded in 2022 on a decade of research, MangoBoost is rapidly expanding its operations in the U.S., Canada, and Korea. About AIC AIC Inc. is a global leader in the design and manufacturing of high-performance server and storage solutions. With nearly 30 years of expertise, AIC is renowned for its high-density storage servers, storage server barebones, and AI storage solutions. The company operates globally, with offices in the United States, Asia, and Europe, and is committed to driving innovation across various industries. View source version on Contacts Minwoo SonStrategy & Operations
Globe and Mail
2 days ago
- Business
- Globe and Mail
Prediction: Nvidia Stock Will Skyrocket in the Next 5 Years, Here's Why
Nvidia 's (NASDAQ: NVDA) AI chip supremacy, expanding data center footprint, and software ecosystem make it the heartbeat of the AI revolution unless rising competition or valuation froth triggers a cooldown. In this video, I explore the growth story, risks ahead, and where NVDA might land in five years. *Stock prices used were the market prices of May 29, 2025. The video was published on May 29, 2025. Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue » Should you invest $1,000 in Nvidia right now? Before you buy stock in Nvidia, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Nvidia 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 $651,761!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $826,263!* Now, it's worth noting Stock Advisor 's total average return is978% — a market-crushing outperformance compared to170%for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of May 19, 2025
Globe and Mail
3 days ago
- Business
- Globe and Mail
‘Keep Your Eyes on the Prize,' Says Top Investor About Nvidia Stock
Well, today is the day! The excitement is palpable as Nvidia Corporation (NASDAQ:NVDA) prepares to release its quarterly report after the market closes, with both seasoned investors and newcomers eagerly awaiting the Q1 FY 2026 results. Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter While the company regularly outshoots both its guidance and the market expectations, the stars might not be aligned this time around due to larger macro concerns and issues specific to Nvidia and its semiconductor peers. For instance, last month, the Trump administration informed Nvidia that it would need export licenses to sell its H20 GPUs to Chinese customers. As a result, Nvidia has announced that it will absorb approximately $5.5 billion in charges this quarter due to expenses associated with these H20 products. However, Nvidia is still expected to deliver quarterly revenues around $43 billion – which would represent 66% year-over-year growth. While margins are slated to drop a few percentage points due to costs related to the Blackwell ramp, they are likely to remain north of 70%. And yet, such are the weight of expectations on the undisputed data center leader that Nvidia's share price has dropped in the past following earnings releases, even after beating both top- and bottom-line projections. So, what's on tap this time? While top investor Rick Orford foresees some short-term volatility, he firmly believes that Nvidia is one to buy and hold for the long haul. 'Given its prospects and the current market conditions, I think Nvidia will not only recover from the current economic and government setbacks but will catapult even higher,' asserts the 5-star investor, who is among the very top 1% of TipRanks' stock pros. Orford explains that aside from its gaming segment, Nvidia's revenues have been growing across the board. Even here, however, the investor points out that its 11% year-over-year revenue decrease last quarter was due to supply constraints, meaning that there should be improved figures this time around. Moreover, Orford does not see any threats to Nvidia's place at the top of the AI pecking order. In other words, this money-maker will keep on powering away. 'Nvidia's Data Center segment will most likely continue to rake in massive profits from the ongoing AI revolution – can you name a company that can overthrow Nvidia in the next 5 to 10 years?,' Orford asks, rhetorically. In addition, Nvidia stands to further benefit from the expanding autonomous vehicle market – which offers 'massive upside potential.' The company has already inked a number of deals with auto companies, such as Toyota, Tesla, and Mercedes-Benz, among others. In other words, don't be distracted by any short-term volatility, sums up the investor, and keep your eyes firmly focused on longer term horizons. 'As a long-term investor, my 'Strong Buy' rating for Nvidia is for its long-term prospects only. And yes, that 5+ years and more,' concludes Orford. (To watch Rick Orford's track record, click here) You won't find much disagreement on Wall Street. With 32 Buys, 4 Holds, and 1 Sell, NVDA boasts a Strong Buy consensus rating. Its 12-month average price target of $164.21 has an upside north of 20%. (See NVDA stock forecast) To find good ideas for stocks trading at attractive valuations, visit TipRanks' Best Stocks to Buy, a tool that unites all of TipRanks' equity insights. Disclaimer: The opinions expressed in this article are solely those of the featured investor. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.
