Super Micro Computer (NASDAQ:SMCI) Trading Up 5.4% – Time to Buy?

Super Micro Computer, Inc. (NASDAQ:SMCI)’s share price rose 5.4% on Monday . The company traded as high as $41.72 and last traded at $41.20. 47,666,254 shares were traded during trading, an increase of 7% from the average session volume of 44,628,926 shares. The stock had previously closed at $39.09.

Wall Street Analysts Forecast Growth

SMCI has been the subject of a number of analyst reports. Raymond James Financial restated an “outperform” rating and set a $48.00 price objective on shares of Super Micro Computer in a research report on Wednesday, August 12th. Rosenblatt Securities boosted their price target on shares of Super Micro Computer from $45.00 to $51.00 and gave the company a “buy” rating in a report on Wednesday, August 12th. Northland Securities set a $36.00 price target on shares of Super Micro Computer in a research report on Wednesday, July 22nd. Mizuho set a $35.00 price objective on shares of Super Micro Computer and gave the stock a “neutral” rating in a report on Wednesday, August 12th. Finally, Sanford C. Bernstein set a $42.00 price objective on shares of Super Micro Computer in a research report on Thursday, August 13th. One research analyst has rated the stock with a Strong Buy rating, four have given a Buy rating, eleven have assigned a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, the stock has an average rating of “Hold” and an average price target of $42.13.

Super Micro Computer Stock Up 5.4%

The company has a debt-to-equity ratio of 0.65, a quick ratio of 2.07 and a current ratio of 3.87. The firm has a 50 day simple moving average of $33.78 and a two-hundred day simple moving average of $31.72. The stock has a market cap of $27.07 billion, a P/E ratio of 12.88, a P/E/G ratio of 0.74 and a beta of 2.00.

Super Micro Computer (NASDAQ:SMCI) last released its quarterly earnings results on Tuesday, August 11th. The company reported $1.70 earnings per share (EPS) for the quarter, topping 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 company had revenue of $11.12 billion during the quarter, compared to analysts’ expectations of $11.60 billion. During the same quarter in the prior year, the business posted $0.31 earnings per share. The company’s revenue for the quarter was up 93.2% compared to the same quarter last year. Super Micro Computer has set its Q1 2027 guidance at 1.010-1.100 EPS. Equities research analysts predict that Super Micro Computer, Inc. will post 4.04 earnings per share for the current year.

Insider Activity

In other news, Director Chiu-Chu Liang sold 100,000 shares of the stock in a transaction that occurred on Thursday, September 3rd. The shares were sold at an average price of $37.19, for a total value of $3,719,000.00. Following the completion of the transaction, the director directly owned 537,506 shares in the company, valued at $19,989,848.14. This trade represents a 15.69% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Charles Liang sold 100,000 shares of the firm’s stock in a transaction that occurred on Thursday, September 3rd. The shares were sold at an average price of $37.19, for a total transaction of $3,719,000.00. Following the transaction, the chief executive officer owned 537,506 shares in the company, valued at $19,989,848.14. This represents a 15.69% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 16.10% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Super Micro Computer

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Norges Bank bought a new stake in Super Micro Computer during the fourth quarter worth approximately $136,569,000. Assenagon Asset Management S.A. increased its holdings in shares of Super Micro Computer by 1,770.4% in the second quarter. Assenagon Asset Management S.A. now owns 2,174,863 shares of the company’s stock valued at $63,789,000 after buying an additional 2,058,588 shares in the last quarter. MUFG Securities EMEA plc lifted its position in shares of Super Micro Computer by 10,842.9% during the 4th quarter. MUFG Securities EMEA plc now owns 1,050,076 shares of the company’s stock valued at $30,736,000 after acquiring an additional 1,040,480 shares during the last quarter. Ardmore Road Asset Management LP acquired a new stake in shares of Super Micro Computer during the 1st quarter valued at $11,954,000. Finally, Diversify Wealth Management LLC bought a new stake in shares of Super Micro Computer during the 1st quarter worth $7,455,000. 84.06% of the stock is owned by institutional investors.

Super Micro Computer Company Profile

Super Micro Computer, Inc, doing business as Supermicro, develops and sells application-optimized server and storage systems. Its product portfolio includes servers, workstations, storage platforms, networking equipment, motherboards, chassis, power supplies and related software and support services.

The company also provides high-performance computing and data center infrastructure, including systems designed for artificial intelligence, machine learning, cloud computing, enterprise applications, telecommunications and edge computing.