Super Micro Computer (NASDAQ:SMCI) Stock Price Down 5.6% – Time to Sell?

Shares of Super Micro Computer, Inc. (NASDAQ:SMCI) traded down 5.6% on Monday . The company traded as low as $34.09 and last traded at $35.17. 39,685,587 shares were traded during mid-day trading, a decline of 13% from the average session volume of 45,415,148 shares. The stock had previously closed at $37.24.

More Super Micro Computer News

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

• Positive Sentiment: Cisco partnership boosts AI infrastructure outlook: Supermicro and Cisco are working on dense GPU systems with liquid-cooling technology, reinforcing SMCI’s role in next-generation AI data centers. Super Micro Computer climbs 9% on Cisco partnership
• Positive Sentiment: Record backlog signals continued growth: Management expects AI solutions to account for more than 80% of revenue, while reported new orders exceeding $60 billion—approximately 70% linked directly to AI infrastructure—support the company’s growth outlook. SMCI’s Backlogs are Growing at a Record Pace: What’s Ahead?
• Positive Sentiment: Guidance remains well above expectations: Fiscal 2027 revenue guidance of $65 billion to $72 billion materially exceeded prior analyst consensus near $54.4 billion. The latest quarter also delivered adjusted EPS of $1.70 versus a $0.92 consensus estimate, with revenue increasing 93.2% year over year.
• Neutral Sentiment: Legal overhang has narrowed but not disappeared: Taiwan prosecutors indicted nine people, including two Supermicro Taiwan employees, over alleged illegal AI-server exports to China. However, the company itself was not accused, and Supermicro said its internal investigation was complete and that additional export-compliance measures had been adopted. Super Micro Surges as Taiwan Indicts Employees but Not the Company
• Negative Sentiment: Profitability and cash-flow concerns remain: Analysts caution that the recent 17.6% gross margin may not persist; management expects margins to normalize to 10.4%–10.8%. Rapid growth could also require substantial working capital, increasing cash-burn and dilution risks. Super Micro Computer: Current Margins Unlikely To Sustain

Analyst Ratings Changes

A number of equities analysts recently commented on the company. 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. Wolfe Research started coverage on shares of Super Micro Computer in a report on Thursday, June 11th. They issued a “peer perform” rating on the stock. JPMorgan Chase & Co. boosted their price objective on shares of Super Micro Computer from $28.00 to $32.00 and gave the company a “neutral” rating in a research report on Wednesday, May 6th. Needham & Company LLC restated a “buy” rating and issued a $46.00 price objective on shares of Super Micro Computer in a report on Wednesday, August 12th. Finally, Barclays set a $39.00 target price on shares of Super Micro Computer and gave the stock an “equal weight” rating in a research report on Wednesday, August 12th. One research analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, eleven have given a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat.com, the company has an average rating of “Hold” and a consensus price target of $42.13.

Super Micro Computer Trading Up 9.4%

The company has a market cap of $23.13 billion, a PE ratio of 12.02, a PEG ratio of 0.77 and a beta of 1.95. 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 stock has a 50 day moving average price of $30.66 and a 200 day moving average price of $30.91.

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, topping the consensus estimate of $0.92 by $0.78. The company had revenue of $11.12 billion for the quarter, compared to analysts’ expectations of $11.60 billion. Super Micro Computer had a return on equity of 27.83% and a net margin of 5.71%.The firm’s revenue for the quarter was up 93.2% on a year-over-year basis. During the same period in the prior year, the firm earned $0.31 earnings per share. Super Micro Computer has set its Q1 2027 guidance at 1.010-1.100 EPS. Sell-side analysts predict that Super Micro Computer, Inc. will post 4.04 EPS for the current fiscal year.

Institutional Trading of Super Micro Computer

A number of hedge funds and other institutional investors have recently modified their holdings of the business. VIRGINIA RETIREMENT SYSTEMS ET Al bought a new position in shares of Super Micro Computer in the 2nd quarter worth about $8,412,000. California State Teachers Retirement System boosted its stake in Super Micro Computer by 2,984.2% during the second quarter. California State Teachers Retirement System now owns 25,071,724 shares of the company’s stock worth $735,354,000 after acquiring an additional 24,258,827 shares in the last quarter. Ameritas Advisory Services LLC bought a new stake in Super Micro Computer during the second quarter worth about $319,000. Saudi Central Bank boosted its stake in Super Micro Computer by 99.5% during the second quarter. Saudi Central Bank now owns 39,564 shares of the company’s stock worth $1,160,000 after acquiring an additional 19,733 shares in the last quarter. Finally, TOP Private Wealth LLC. purchased a new stake in Super Micro Computer in the second quarter worth about $42,000. 84.06% of the stock is owned by hedge funds and other institutional investors.

Super Micro Computer Company Profile

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.