Charles Schwab Investment Management Inc. Increases Stock Position in Super Micro Computer, Inc. (NASDAQ:SMCI)

Key Points

• Charles Schwab Investment Management Inc. increased its stake in Super Micro Computer by 3.3%, acquiring an additional 120,496 shares, bringing its total ownership to approximately 3,771,630 shares worth $129.14 million.
• In recent insider trading, both CEO Charles Liang and Director Liang Chiu-Chu Sara Liu sold 300,000 shares each at an average price of $45.00, representing a total value of $13.5 million for each transaction.
• An analyst report indicated a price target increase for Super Micro Computer, with Needham & Company raising their target from $39.00 to $60.00, while the stock currently has a consensus rating of "Hold" with an average price target of $44.75.

Charles Schwab Investment Management Inc. raised its position in shares of Super Micro Computer, Inc. (NASDAQ:SMCI - Free Report) by 3.3% in the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 3,771,630 shares of the company's stock after buying an additional 120,496 shares during the period. Charles Schwab Investment Management Inc. owned about 0.63% of Super Micro Computer worth $129,141,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other hedge funds and other institutional investors have also recently bought and sold shares of the stock. Eastern Bank acquired a new stake in Super Micro Computer in the first quarter valued at $29,000. Bernard Wealth Management Corp. acquired a new stake in Super Micro Computer in the fourth quarter valued at $33,000. Quarry LP acquired a new stake in Super Micro Computer in the fourth quarter valued at $34,000. Central Pacific Bank Trust Division acquired a new stake in Super Micro Computer in the first quarter valued at $34,000. Finally, IMG Wealth Management Inc. raised its stake in Super Micro Computer by 90.7% in the first quarter. IMG Wealth Management Inc. now owns 1,051 shares of the company's stock valued at $36,000 after buying an additional 500 shares in the last quarter. 84.06% of the stock is currently owned by hedge funds and other institutional investors.

Insider Buying and Selling

In related news, CEO Charles Liang sold 300,000 shares of the firm's stock in a transaction dated Wednesday, June 18th. The stock was sold at an average price of $45.00, for a total transaction of $13,500,000.00. Following the transaction, the chief executive officer owned 66,903,640 shares of the company's stock, valued at $3,010,663,800. This trade represents a 0.45% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, Director Liang Chiu-Chu Sara Liu sold 300,000 shares of the firm's stock in a transaction dated Wednesday, June 18th. The stock was sold at an average price of $45.00, for a total value of $13,500,000.00. Following the transaction, the director directly owned 66,903,640 shares in the company, valued at approximately $3,010,663,800. This represents a 0.45% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 1,067,000 shares of company stock valued at $53,949,340 over the last quarter. 16.30% of the stock is currently owned by insiders.

Analyst Ratings Changes

SMCI has been the topic of a number of analyst reports. Needham & Company LLC raised their price target on Super Micro Computer from $39.00 to $60.00 and gave the company a "buy" rating in a research note on Wednesday, August 6th. Citigroup reiterated a "neutral" rating and set a $52.00 target price (up previously from $37.00) on shares of Super Micro Computer in a research report on Friday, July 11th. Rosenblatt Securities cut their target price on Super Micro Computer from $55.00 to $50.00 and set a "buy" rating on the stock in a research report on Wednesday, May 7th. Wall Street Zen upgraded Super Micro Computer to a "sell" rating in a research report on Thursday, May 8th. Finally, KGI Securities assumed coverage on Super Micro Computer in a research report on Wednesday, May 7th. They set a "neutral" rating on the stock. Three analysts have rated the stock with a sell rating, eight have assigned a hold rating, six have issued a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of "Hold" and an average price target of $44.75.

Super Micro Computer Stock Performance

Shares of NASDAQ SMCI traded up $1.23 during midday trading on Tuesday, reaching $46.43. 30,277,353 shares of the company were exchanged, compared to its average volume of 45,544,592. The company has a current ratio of 5.32, a quick ratio of 3.32 and a debt-to-equity ratio of 0.74. Super Micro Computer, Inc. has a 1 year low of $17.25 and a 1 year high of $66.44. The stock has a fifty day simple moving average of $48.75 and a 200 day simple moving average of $41.74. The stock has a market cap of $27.71 billion, a P/E ratio of 27.97, a PEG ratio of 1.20 and a beta of 1.46.

Super Micro Computer (NASDAQ:SMCI - Get Free Report) last released its quarterly earnings results on Tuesday, August 5th. The company reported $0.41 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.44 by ($0.03). Super Micro Computer had a return on equity of 17.14% and a net margin of 4.77%. The company had revenue of $5.76 billion for the quarter, compared to analysts' expectations of $5.88 billion. During the same period in the prior year, the business earned $6.25 EPS. The business's quarterly revenue was up 8.5% compared to the same quarter last year. On average, research analysts forecast that Super Micro Computer, Inc. will post 1.86 earnings per share for the current fiscal year.

Super Micro Computer Company Profile

Super Micro Computer, Inc, together with its subsidiaries, develops and manufactures high performance server and storage solutions based on modular and open architecture in the United States, Europe, Asia, and internationally. Its solutions range from complete server, storage systems, modular blade servers, blades, workstations, full racks, networking devices, server sub-systems, server management software, and security software.