Super Micro Computer (NASDAQ:SMCI) Shares Up 2.9% – Here’s Why

Super Micro Computer, Inc. (NASDAQ:SMCI)’s share price shot up 2.9% during mid-day trading on Thursday . The stock traded as high as $39.47 and last traded at $38.46. Approximately 41,048,664 shares traded hands during mid-day trading, a decline of 9% from the average session volume of 45,327,082 shares. The stock had previously closed at $37.39.

Key Stories Impacting Super Micro Computer

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

• Positive Sentiment: The expanded partnership with Cisco and NVIDIA will incorporate Supermicro’s high-density, liquid-cooled and air-cooled servers into Cisco’s Secure AI Factory infrastructure. The arrangement could broaden SMCI’s access to enterprise, neocloud and sovereign-cloud customers while validating its AI rack-scale technology. What Could Super Micro Computer Gain From This AI Infrastructure Partnership?
• Positive Sentiment: Recent reports highlight more than $60 billion in new orders and fiscal 2027 revenue guidance of roughly $65 billion to $72 billion. Management also expects AI solutions to represent more than 80% of revenue, reinforcing the investment case tied to accelerating data-center demand. SMCI’s Backlogs Are Growing at a Record Pace
• Positive Sentiment: Industry analysts remain constructive on computer-storage and AI infrastructure stocks, citing continued momentum from cloud computing, the Internet of Things, automotive applications and artificial intelligence. 3 Storage Devices Stocks to Buy as the Industry Gains Momentum
• Neutral Sentiment: Technical coverage says SMCI remains range-bound near the $35–$40 area. A move above resistance could support a larger recovery, but the stock has not yet confirmed a decisive breakout. Nvidia Earnings Loom as Intel Tests Support, SMCI Consolidates
• Negative Sentiment: Analysts caution that the Cisco deal is primarily a technology and distribution endorsement and may not fully resolve questions about converting backlog into sustained demand and revenue. Why The Cisco Deal Only Solves Half Of Super Micro’s Problem
• Negative Sentiment: Despite strong revenue growth and a margin rebound, Supermicro continues to face negative free cash flow, potential dilution and governance concerns. Fiscal 2027 growth expectations are robust, but quarterly EPS guidance implies margin normalization. Super Micro Computer: A Buy With a Cash Flow Problem

Analyst Upgrades and Downgrades

Several equities research analysts have recently weighed in on the company. Raymond James Financial reissued an “outperform” rating and set a $48.00 price objective on shares of Super Micro Computer in a research note on Wednesday, August 12th. The Goldman Sachs Group reiterated a “sell” rating and issued a $34.00 price target (up from $30.00) on shares of Super Micro Computer in a research report on Wednesday, August 12th. Citigroup lifted their price target on Super Micro Computer from $33.00 to $39.00 and gave the stock a “neutral” rating in a research note on Wednesday, August 12th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Super Micro Computer in a research note on Wednesday, June 24th. Finally, Stifel Nicolaus set a $42.00 target price on shares of Super Micro Computer in a report on Wednesday, August 12th. One analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, eleven have issued a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat, Super Micro Computer presently has an average rating of “Hold” and an average price target of $42.13.

Super Micro Computer Trading Up 2.9%

The firm has a market cap of $23.13 billion, a price-to-earnings ratio of 12.02, a PEG ratio of 0.84 and a beta of 1.95. The company has a 50-day moving average price of $30.85 and a 200 day moving average price of $30.96. The company has a quick ratio of 2.07, a current ratio of 3.87 and a debt-to-equity ratio of 0.65.

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

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Elyxium Wealth LLC acquired a new stake in shares of Super Micro Computer during the 4th quarter valued at $26,000. Arax Advisory Partners acquired a new position in shares of Super Micro Computer in the fourth quarter worth $28,000. SHP Wealth Management acquired a new position in shares of Super Micro Computer in the fourth quarter worth $29,000. Advisors Asset Management Inc. purchased a new stake in shares of Super Micro Computer during the first quarter worth $39,000. Finally, Peterson Wealth Services boosted its position in Super Micro Computer by 273.6% during the fourth quarter. Peterson Wealth Services now owns 1,274 shares of the company’s stock valued at $37,000 after purchasing an additional 933 shares during the last quarter. 84.06% of the stock is owned by hedge funds and other institutional investors.

About Super Micro Computer

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.