Super Micro Computer (NASDAQ:SMCI) Trading Down 1.3% – Should You Sell?

Super Micro Computer, Inc. (NASDAQ:SMCI)’s share price dropped 1.3% during trading on Wednesday . The company traded as low as $29.35 and last traded at $29.71. Approximately 16,725,296 shares changed hands during mid-day trading, a decline of 52% from the average daily volume of 34,488,324 shares. The stock had previously closed at $30.11.

Analysts Set New Price Targets

A number of analysts have weighed in on SMCI shares. The Goldman Sachs Group increased their target price on shares of Super Micro Computer from $26.00 to $27.00 and gave the stock a “sell” rating in a report on Wednesday, February 4th. Barclays set a $38.00 price objective on shares of Super Micro Computer and gave the stock an “equal weight” rating in a research note on Wednesday, February 4th. Citigroup cut their target price on shares of Super Micro Computer from $48.00 to $39.00 and set a “neutral” rating on the stock in a report on Tuesday, January 20th. Wall Street Zen raised Super Micro Computer from a “sell” rating to a “hold” rating in a report on Sunday. Finally, Wedbush cut their price target on Super Micro Computer from $48.00 to $42.00 and set a “neutral” rating on the stock in a report on Wednesday, November 5th. Five equities research analysts have rated the stock with a Buy rating, eight have given a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat.com, Super Micro Computer has an average rating of “Hold” and a consensus target price of $43.43.

Super Micro Computer Price Performance

The company has a debt-to-equity ratio of 0.67, a quick ratio of 1.01 and a current ratio of 1.70. The firm has a market capitalization of $17.80 billion, a P/E ratio of 22.17, a price-to-earnings-growth ratio of 0.59 and a beta of 1.53. The business has a fifty day moving average of $30.97 and a 200-day moving average of $39.73.

Super Micro Computer (NASDAQ:SMCI) last announced its quarterly earnings results on Tuesday, February 3rd. The company reported $0.69 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.49 by $0.20. The company had revenue of $12.68 billion during the quarter, compared to analyst estimates of $10.34 billion. Super Micro Computer had a return on equity of 13.22% and a net margin of 3.11%.The firm’s quarterly revenue was up 123.4% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.59 EPS. Super Micro Computer has set its Q3 2026 guidance at 0.600- EPS. On average, sell-side analysts forecast that Super Micro Computer, Inc. will post 1.86 EPS for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the stock. Vanguard Group Inc. raised its holdings in Super Micro Computer by 4.1% during the third quarter. Vanguard Group Inc. now owns 68,848,777 shares of the company’s stock worth $3,300,610,000 after purchasing an additional 2,695,829 shares in the last quarter. Geode Capital Management LLC increased its position in shares of Super Micro Computer by 0.3% during the 4th quarter. Geode Capital Management LLC now owns 13,808,499 shares of the company’s stock valued at $402,627,000 after purchasing an additional 41,314 shares during the period. Disciplined Growth Investors Inc. MN increased its position in shares of Super Micro Computer by 16.5% during the 2nd quarter. Disciplined Growth Investors Inc. MN now owns 9,730,773 shares of the company’s stock valued at $476,905,000 after purchasing an additional 1,381,046 shares during the period. Invesco Ltd. raised its stake in shares of Super Micro Computer by 31.6% in the 2nd quarter. Invesco Ltd. now owns 8,639,784 shares of the company’s stock worth $423,436,000 after buying an additional 2,073,978 shares in the last quarter. Finally, Norges Bank acquired a new stake in shares of Super Micro Computer in the fourth quarter valued at $136,569,000. 84.06% of the stock is currently owned by 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.