Rosenblatt Securities Reaffirms “Buy” Rating for Super Micro Computer (NASDAQ:SMCI)

Super Micro Computer (NASDAQ:SMCI)‘s stock had its “buy” rating reissued by equities research analysts at Rosenblatt Securities in a research report issued on Friday, Benzinga reports. They presently have a $51.00 target price on the stock. Rosenblatt Securities’ price target would indicate a potential upside of 53.19% from the stock’s current price.

Other equities research analysts have also issued reports about the company. Zacks Research lowered Super Micro Computer from a “strong-buy” rating to a “hold” rating in a research note on Monday. Raymond James Financial restated an “outperform” rating and set a $48.00 target price on shares of Super Micro Computer in a report on Wednesday, August 12th. Barclays set a $39.00 target price on shares of Super Micro Computer and gave the company an “equal weight” rating in a research note on Wednesday, August 12th. The Goldman Sachs Group reaffirmed 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. Finally, Weiss Ratings reissued a “hold (c)” rating on shares of Super Micro Computer in a research report on Monday, September 21st. Four research analysts have rated the stock with a Buy rating, twelve have given a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus target price of $43.07.

Super Micro Computer Stock Performance

NASDAQ SMCI traded down $1.80 during trading hours on Friday, hitting $33.29. The company had a trading volume of 6,698,876 shares, compared to its average volume of 43,388,871. The firm has a market cap of $21.87 billion, a P/E ratio of 10.43, a price-to-earnings-growth ratio of 0.69 and a beta of 2.02. The business has a fifty day simple moving average of $38.83 and a 200-day simple moving average of $33.43. Super Micro Computer has a fifty-two week low of $19.48 and a fifty-two week high of $56.60. 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 announced its quarterly earnings results on Tuesday, August 11th. The company reported $1.70 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates 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 analyst estimates of $11.60 billion. During the same quarter in the previous year, the firm posted $0.31 EPS. The firm’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. Equities analysts predict that Super Micro Computer will post 3.94 EPS for the current year.

Insider Activity

In related news, CEO Charles Liang sold 100,000 shares of the business’s stock in a transaction that occurred on Wednesday, October 7th. The shares were sold at an average price of $45.02, for a total transaction of $4,502,000.00. Following the completion of the transaction, the chief executive officer owned 337,506 shares in the company, valued at approximately $15,194,520.12. The trade was a 22.86% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Chiu-Chu Liang sold 100,000 shares of the stock in a transaction on Wednesday, October 7th. The stock was sold at an average price of $45.02, for a total transaction of $4,502,000.00. Following the sale, the director directly owned 337,506 shares of the company’s stock, valued at $15,194,520.12. This represents a 22.86% 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. Insiders have sold 400,000 shares of company stock worth $16,442,000 over the last ninety days. Insiders own 16.10% of the company’s stock.

Hedge Funds Weigh In On Super Micro Computer

Several institutional investors and hedge funds have recently modified their holdings of SMCI. Assenagon Asset Management S.A. boosted its holdings in Super Micro Computer by 1,770.4% in the 2nd quarter. Assenagon Asset Management S.A. now owns 2,174,863 shares of the company’s stock valued at $63,789,000 after purchasing an additional 2,058,588 shares during the period. Ardmore Road Asset Management LP bought a new position in shares of Super Micro Computer in the 1st quarter valued at $11,954,000. Diversify Wealth Management LLC acquired a new stake in shares of Super Micro Computer during the first quarter valued at about $7,455,000. VIRGINIA RETIREMENT SYSTEMS ET Al acquired a new stake in Super Micro Computer in the second quarter valued at $8,412,000. Finally, Annex Advisory Services LLC acquired a new stake in shares of Super Micro Computer during the third quarter worth $10,282,000. 84.06% of the stock is currently owned by institutional investors and hedge funds.

More Super Micro Computer News

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

• Positive Sentiment: Rosenblatt maintains a bullish view. The firm reaffirmed its “Buy” rating and assigned a $51 price target, implying substantial upside from current levels. Rosenblatt rating coverage
• Positive Sentiment: Enterprise AI demand provides a commercial validation. Digi Power X is using Supermicro servers equipped with Nvidia Blackwell chips for its NeoCloudz enterprise AI platform, highlighting potential demand for the company’s server systems. Digi Power X Supermicro GPU partnership
• Positive Sentiment: Low valuation may attract bargain hunters. Super Micro trades at roughly 9.8 times earnings, well below the S&P 500 median cited in the report. However, investors remain focused on whether reported profits convert into cash. Is SMCI Stock a Real Bargain?
• Neutral Sentiment: Mark Long has been appointed chief financial officer. The former Western Digital finance executive replaces David Weigand and takes responsibility for financial management as Supermicro addresses heightened scrutiny. The appointment could improve credibility, but its effect will depend on execution. Super Micro appoints Mark Long as chief financial officer
• Negative Sentiment: AI-hardware stocks are facing a sector-wide pullback. Barclays’ more cautious stance on Dell and Hewlett Packard Enterprise reflects concerns about the timing of enterprise AI spending, pressuring server makers including SMCI. AI hardware sector pullback
• Negative Sentiment: Management turmoil continues to concern investors. Coverage of the CFO transition links the appointment to prior delays in naming a permanent finance chief, a reported $2.5 billion smuggling case, and the arrest of a co-founder. These issues reinforce governance and execution risks. Supermicro appoints a new CFO after management turmoil

About Super Micro Computer

Super Micro Computer, Inc develops and sells application-optimized server and storage systems for data centers, cloud computing, enterprise IT, artificial intelligence, and other demanding computing environments. The company offers complete computing platforms as well as modular components, allowing customers to configure systems for specific performance, power, and workload requirements.

Its product portfolio includes server and storage systems, workstations, networking equipment, rack-scale solutions, GPU and AI systems, and related software and services.