Super Micro Computer (NASDAQ:SMCI) Stock Price Down 3.1% – Time to Sell?

Super Micro Computer, Inc. (NASDAQ:SMCI)’s share price was down 3.1% during mid-day trading on Friday . The company traded as low as $38.32 and last traded at $39.09. Approximately 47,738,304 shares changed hands during trading, an increase of 7% from the average session volume of 44,633,785 shares. The stock had previously closed at $40.35.

Trending Headlines about Super Micro Computer

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

• Positive Sentiment: Super Micro has beaten earnings estimates in three of the past four quarters, while its backlog reportedly reached a record level. A valuation metric highlighted by 24/7 Wall St. is at a level that has historically preceded significant repricing; the article argues that meeting certain growth conditions could support roughly 58% additional upside. The SMCI Number I’m Watching Could Decide Where the Stock Goes Next
• Positive Sentiment: Goldman Sachs’ forecast for aggressive expansion in the AI-server total addressable market through the end of the decade helped lift Super Micro alongside Hewlett Packard Enterprise and Dell. The broader sector rally and renewed demand for AI infrastructure improved near-term momentum for SMCI. SMCI Stock Rallies as Goldman Sachs Flags Expanding Addressable Market
• Positive Sentiment: Investors also responded positively to a wider rebound in high-beta technology stocks following the Federal Reserve’s latest interest-rate decision, with AI server makers among the leading beneficiaries. Super Micro Computer Stock Climbs Thursday: What’s Going On?
• Neutral Sentiment: Despite expectations for another substantial revenue increase, some investors appear unwilling to fully credit the forecasts, suggesting that execution, margins, and the sustainability of AI-server demand remain important tests for the stock. Super Micro Stock Slips as Investors Look Past Massive Growth Estimates
• Negative Sentiment: Goldman Sachs continues to maintain a Sell rating on Super Micro, limiting the impact of its otherwise favorable industry outlook and reinforcing concerns about company-specific risks. Goldman Sachs Sticks to Its Sell Rating for Super Micro Computer
• Negative Sentiment: Kuehn Law is investigating whether Super Micro officers and directors breached fiduciary duties. The announcement does not establish wrongdoing, but it adds legal and governance overhang that may weigh on investor confidence. Kuehn Law Encourages Investors of Super Micro Computer Investors to Contact Law Firm

Analysts Set New Price Targets

Several equities analysts have recently weighed in on SMCI shares. Wolfe Research initiated coverage on shares of Super Micro Computer in a research note on Thursday, June 11th. They issued a “peer perform” rating on the stock. Northland Securities set a $36.00 price objective on shares of Super Micro Computer in a report on Wednesday, July 22nd. Stifel Nicolaus set a $42.00 target price on shares of Super Micro Computer in a research note on Wednesday, August 12th. The Goldman Sachs Group restated 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. Finally, Citigroup upped their price target on Super Micro Computer from $33.00 to $39.00 and gave the company a “neutral” rating in a research report on Wednesday, August 12th. One equities research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, eleven have assigned a Hold rating and two have given a Sell rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus price target of $42.13.

Super Micro Computer Trading Down 3.1%

The stock has a market cap of $25.68 billion, a PE ratio of 12.22, a price-to-earnings-growth ratio of 0.69 and a beta of 2.00. The company’s 50-day moving average price is $33.57 and its 200 day moving average price is $31.67. The company has a debt-to-equity ratio of 0.65, a quick ratio of 2.07 and a current ratio of 3.87.

Super Micro Computer (NASDAQ:SMCI) last posted its 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 last year, the firm earned $0.31 earnings per share. The firm’s quarterly revenue 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. On average, sell-side analysts forecast that Super Micro Computer, Inc. will post 4.04 EPS for the current fiscal year.

Insider Transactions at Super Micro Computer

In other Super Micro Computer news, Director Chiu-Chu Liang sold 100,000 shares of the stock in a transaction dated 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 completion of the transaction, the director owned 537,506 shares of the company’s stock, valued at $19,989,848.14. This trade represents a 15.69% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Charles Liang sold 100,000 shares of Super Micro Computer stock in a transaction dated 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 sale, the chief executive officer owned 537,506 shares of the company’s stock, valued at approximately $19,989,848.14. This represents a 15.69% 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. 16.10% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Super Micro Computer

Several large investors have recently made changes to their positions in SMCI. MCF Advisors LLC raised its position in Super Micro Computer by 22.8% in 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 during the period. National Pension Service lifted its stake in Super Micro Computer by 191.7% during the second quarter. National Pension Service now owns 99,868 shares of the company’s stock worth $2,929,000 after purchasing an additional 65,632 shares in the last quarter. NewEdge Advisors LLC boosted its position in shares of Super Micro Computer by 183.5% during the second quarter. NewEdge Advisors LLC now owns 158,321 shares of the company’s stock worth $4,644,000 after buying an additional 102,474 shares during the period. Baird Financial Group Inc. acquired a new stake in shares of Super Micro Computer in the second quarter valued at $292,000. Finally, Allworth Financial LP grew its stake in shares of Super Micro Computer by 11.3% in the second quarter. Allworth Financial LP now owns 37,880 shares of the company’s stock valued at $1,111,000 after buying an additional 3,858 shares in the last quarter. 84.06% of the stock is currently owned by institutional investors and hedge funds.

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.