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

Super Micro Computer (NASDAQ:SMCI)‘s stock had its “buy” rating reissued by investment analysts at Rosenblatt Securities in a note issued to investors on Friday, Benzinga reports. They presently have a $51.00 price objective on the stock. Rosenblatt Securities’ target price indicates a potential upside of 54.09% from the company’s current price.

Other equities research analysts also recently issued research reports about the stock. Sanford C. Bernstein set a $42.00 price target on shares of Super Micro Computer in a research note on Thursday, August 13th. Wedbush upped their price target on shares of Super Micro Computer from $34.00 to $40.00 and gave the stock a “neutral” rating in a report on Wednesday, August 12th. The Goldman Sachs Group reiterated a “sell” rating and set a $34.00 target price (up from $30.00) 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 stock an “equal weight” rating in a report on Wednesday, August 12th. Finally, Stifel Nicolaus set a $42.00 price target on shares of Super Micro Computer in a research report on Wednesday, August 12th. Four analysts have rated the stock with a Buy rating, twelve have assigned a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, the stock currently has an average rating of “Hold” and an average price target of $43.07.

Super Micro Computer Stock Performance

NASDAQ SMCI traded down $1.99 during trading hours on Friday, hitting $33.10. 9,474,397 shares of the company’s stock traded hands, compared to its average volume of 43,409,766. The business’s fifty day moving average price is $38.83 and its two-hundred day moving average price is $33.43. The company has a current ratio of 3.87, a quick ratio of 2.07 and a debt-to-equity ratio of 0.65. The firm has a market capitalization of $21.74 billion, a P/E ratio of 10.34, a P/E/G ratio of 0.69 and a beta of 2.02. Super Micro Computer has a 52 week low of $19.48 and a 52 week high of $56.60.

Super Micro Computer (NASDAQ:SMCI) last issued 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 net margin of 5.71% and a return on equity of 27.83%. The business had revenue of $11.12 billion for the quarter, compared to the consensus estimate of $11.60 billion. During the same quarter in the previous year, the firm earned $0.31 earnings per share. The company’s revenue for the quarter 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 research analysts predict that Super Micro Computer will post 3.94 EPS for the current year.

Insider Buying and Selling at Super Micro Computer

In other news, Director Chiu-Chu Liang sold 100,000 shares of the business’s stock in a transaction dated 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 transaction, the director owned 337,506 shares of the company’s stock, valued at approximately $15,194,520.12. The trade was a 22.86% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed 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 business’s stock in a transaction dated 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 sale, the chief executive officer owned 337,506 shares in the company, valued at approximately $15,194,520.12. This trade represents a 22.86% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders have sold 400,000 shares of company stock worth $16,442,000. 16.10% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Super Micro Computer

A number of hedge funds have recently bought and sold shares of SMCI. SLT Holdings LLC grew its position in shares of Super Micro Computer by 3.0% in the 3rd quarter. SLT Holdings LLC now owns 10,400 shares of the company’s stock valued at $427,000 after purchasing an additional 300 shares during the period. World Equity Group Inc. increased its position in shares of Super Micro Computer by 3.8% in the first quarter. World Equity Group Inc. now owns 9,877 shares of the company’s stock worth $225,000 after purchasing an additional 362 shares during the period. Commonwealth of Pennsylvania Public School Empls Retrmt SYS grew its position in Super Micro Computer by 0.5% in the first quarter. Commonwealth of Pennsylvania Public School Empls Retrmt SYS now owns 117,205 shares of the company’s stock valued at $2,669,000 after acquiring an additional 564 shares during the last quarter. Focused Wealth Management Inc grew its position in Super Micro Computer by 3.3% in the first quarter. Focused Wealth Management Inc now owns 21,245 shares of the company’s stock valued at $484,000 after acquiring an additional 677 shares during the last quarter. Finally, MCF Advisors LLC boosted its stake in shares of Super Micro Computer by 22.8% during the second quarter. MCF Advisors LLC now owns 3,667 shares of the company’s stock valued at $108,000 after purchasing an additional 680 shares in the last quarter. Institutional investors and hedge funds own 84.06% of the company’s stock.

Key Headlines Impacting Super Micro Computer

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.