Super Micro Computer (NASDAQ:SMCI) Shares Climb 9.5% Following Insider Buying Activity

Super Micro Computer, Inc. (NASDAQ:SMCI) shares rose 9.5% during trading on Wednesday after an insider bought additional shares in the company. The stock traded as high as $31.19 and last traded at $30.43. Approximately 40,585,090 shares traded hands during mid-day trading, a decline of 7% from the average session volume of 43,659,621 shares. The stock had previously closed at $27.79.

Specifically, Director Scott Angel acquired 1,715 shares of the firm’s stock in a transaction dated Friday, November 6th. The stock was acquired at an average cost of $29.12 per share, with a total value of $49,940.80. Following the completion of the acquisition, the director owned 8,770 shares of the company’s stock, valued at $255,382.40. The trade was a 24.31% increase in their ownership of the stock. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink.

Analyst Upgrades and Downgrades

A number of brokerages have recently issued reports on SMCI. Weiss Ratings restated a “hold (c)” rating on shares of Super Micro Computer in a research report on Monday, September 21st. The Goldman Sachs Group reiterated 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. Citigroup reiterated a “neutral” rating and set a $45.00 price target (up from $39.00) on shares of Super Micro Computer in a research note on Thursday, October 8th. Susquehanna reissued a “negative” rating and set a $18.00 price objective (up from $15.00) on shares of Super Micro Computer in a research report on Tuesday. Finally, Stifel Nicolaus set a $42.00 price objective on shares of Super Micro Computer in a research note on Wednesday, August 12th. Four research analysts have rated the stock with a Buy rating, twelve have given a Hold rating and three have issued a Sell rating to the stock. According to data from MarketBeat.com, Super Micro Computer currently has a consensus rating of “Hold” and an average target price of $41.29.

Key Super Micro Computer News

These are some of the SMCI news items that stood out recently:

• Positive Sentiment: Recent quarterly results showed strong growth: revenue nearly quadrupled to about $19.95 billion and adjusted earnings per share beat analysts’ expectations. That performance underscores demand for the company’s AI-server systems. Article: Super Micro Computer Q1 earnings had plenty to cheer and plenty to worry about
• Negative Sentiment: The sales surge came with negative operating cash flow of $434 million, as receivables and inventory absorbed cash. Investors may question how efficiently rapid growth converts into cash and whether working-capital demands will persist. Article: Super Micro Computer Stocks Fall as Cash Drain Shadows Fourfold Sales Jump
• Negative Sentiment: Reports that Super Micro servers containing Nvidia chips were rented to China’s Moonshot AI are drawing attention to possible export-control concerns. Regulatory scrutiny could create legal, compliance or reputational risks. Article: Super Micro unveils H15 servers as export scrutiny draws focus

Super Micro Computer Stock Up 9.5%

The business has a 50-day simple moving average of $37.08 and a two-hundred day simple moving average of $32.62. The company has a debt-to-equity ratio of 0.56, a quick ratio of 1.66 and a current ratio of 3.02. The company has a market capitalization of $20.06 billion, a price-to-earnings ratio of 6.49, a PEG ratio of 0.41 and a beta of 2.17.

Super Micro Computer (NASDAQ:SMCI) last announced its earnings results on Tuesday, November 3rd. The company reported $1.81 earnings per share for the quarter, beating the consensus estimate of $1.28 by $0.53. The company had revenue of $19.95 billion for the quarter, compared to the consensus estimate of $16.29 billion. Super Micro Computer had a return on equity of 38.97% and a net margin of 6.77%. The company’s revenue was up 297.5% on a year-over-year basis. During the same period last year, the business posted $0.35 EPS. As a group, equities analysts predict that Super Micro Computer, Inc. will post 4.52 EPS for the current year.

Institutional Investors Weigh In On Super Micro Computer

Several hedge funds have recently modified their holdings of SMCI. Advisors Asset Management Inc. acquired a new stake in shares of Super Micro Computer during the third quarter worth $412,000. Edmond DE Rothschild Holding S.A. purchased a new position in Super Micro Computer in the 3rd quarter valued at $25,000. Private Wealth Asset Management LLC increased its stake in Super Micro Computer by 448.4% in the 3rd quarter. Private Wealth Asset Management LLC now owns 13,161 shares of the company’s stock valued at $541,000 after buying an additional 10,761 shares during the period. Private Advisor Group LLC increased its stake in Super Micro Computer by 1,159.1% in the 3rd quarter. Private Advisor Group LLC now owns 199,303 shares of the company’s stock valued at $8,185,000 after buying an additional 183,474 shares during the period. Finally, Independent Advisor Alliance increased its stake in Super Micro Computer by 12.9% in the 3rd quarter. Independent Advisor Alliance now owns 17,668 shares of the company’s stock valued at $716,000 after buying an additional 2,021 shares during the period. 84.06% of the stock is owned by institutional investors and hedge funds.

Super Micro Computer Company Profile

Super Micro Computer, Inc. designs and sells server and storage systems, networking equipment, and related software and services. Its offerings include systems for data centers, cloud computing, enterprise applications, high-performance computing, artificial intelligence, and edge computing. The company emphasizes application-optimized solutions, including integrated rack-scale systems that combine computing, storage, networking, and management tools. It also provides system configuration, deployment, and support services.