Super Micro Computer (NASDAQ:SMCI) Stock Sees Unusually High Call Option Buying

Key Points

• Unusually heavy call-option activity saw investors acquire 458,265 SMCI call options, about 62% above the average daily volume.
• Super Micro shares rose 4.2% to $43.26, while the company reported quarterly EPS of $1.70—well above the $0.92 consensus estimate—and revenue growth of 93.2% year over year.
• Analyst sentiment remains mixed, with an overall “Hold” rating and an average price target of $42.13; meanwhile, CEO Charles Liang and director Chiu-Chu Liang each sold 100,000 shares under pre-arranged trading plans.

Super Micro Computer, Inc. (NASDAQ:SMCI - Get Free Report) was the target of some unusual options trading on Friday. Investors acquired 458,265 call options on the stock. This represents an increase of approximately 62% compared to the average daily volume of 282,866 call options.

Super Micro Computer Stock Up 4.2%

NASDAQ:SMCI traded up $1.75 during trading hours on Friday, reaching $43.26. 49,096,240 shares of the stock were exchanged, compared to its average volume of 44,521,461. The stock has a market cap of $28.42 billion, a PE ratio of 13.52, a PEG ratio of 0.78 and a beta of 2.00. Super Micro Computer has a twelve month low of $19.48 and a twelve month high of $58.78. The firm has a 50 day moving average of $34.96 and a 200 day moving average of $31.99. The company has a debt-to-equity ratio of 0.65, a current ratio of 3.87 and a quick ratio of 2.07.

Super Micro Computer (NASDAQ:SMCI - Get Free Report) last issued its earnings results on Tuesday, August 11th. The company reported $1.70 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.92 by $0.78. Super Micro Computer had a net margin of 5.71% and a return on equity of 27.83%. The company had revenue of $11.12 billion for the quarter, compared to analysts' expectations of $11.60 billion. During the same period in the prior year, the firm earned $0.31 EPS. Super Micro Computer'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, equities analysts expect that Super Micro Computer will post 4.04 earnings per share for the current year.

Insider Activity

In other Super Micro Computer news, CEO Charles Liang sold 100,000 shares of the firm's stock in a transaction dated Thursday, September 3rd. The shares were sold at an average price of $37.19, for a total value of $3,719,000.00. Following the completion of the transaction, the chief executive officer directly owned 537,506 shares in the company, 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 this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Chiu-Chu 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 value of $3,719,000.00. Following the transaction, the director directly owned 537,506 shares in the company, valued at approximately $19,989,848.14. This trade represents a 15.69% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 16.10% of the company's stock.

Institutional Investors Weigh In On Super Micro Computer

A number of institutional investors have recently added to or reduced their stakes in the business. MCF Advisors LLC raised its position in Super Micro Computer by 9.6% in the fourth quarter. MCF Advisors LLC now owns 3,696 shares of the company's stock worth $108,000 after acquiring an additional 325 shares in the last quarter. World Equity Group Inc. boosted its position in shares of Super Micro Computer by 3.8% during the 1st quarter. World Equity Group Inc. now owns 9,877 shares of the company's stock valued at $225,000 after purchasing an additional 362 shares in the last quarter. Gulf International Bank UK Ltd grew its stake in shares of Super Micro Computer by 1.7% in the 4th quarter. Gulf International Bank UK Ltd now owns 26,748 shares of the company's stock worth $783,000 after purchasing an additional 455 shares during the last quarter. Commonwealth of Pennsylvania Public School Empls Retrmt SYS raised its holdings in shares of Super Micro Computer by 0.5% in the 1st quarter. Commonwealth of Pennsylvania Public School Empls Retrmt SYS now owns 117,205 shares of the company's stock worth $2,669,000 after purchasing an additional 564 shares in the last quarter. Finally, Focused Wealth Management Inc lifted its stake in Super Micro Computer by 3.3% during the first quarter. Focused Wealth Management Inc now owns 21,245 shares of the company's stock valued at $484,000 after purchasing an additional 677 shares during the last quarter. 84.06% of the stock is owned by institutional investors.

Analyst Ratings Changes

Several brokerages recently commented on SMCI. Rosenblatt Securities lifted their target price on shares of Super Micro Computer from $45.00 to $51.00 and gave the stock a "buy" rating in a report on Wednesday, August 12th. Wedbush lifted their price target on shares of Super Micro Computer from $34.00 to $40.00 and gave the stock a "neutral" rating in a research note on Wednesday, August 12th. Weiss Ratings reissued a "hold (c)" rating on shares of Super Micro Computer in a report on Monday. Zacks Research upgraded shares of Super Micro Computer from a "hold" rating to a "strong-buy" rating in a research report on Thursday, August 20th. Finally, Sanford C. Bernstein set a $42.00 target price on Super Micro Computer in a report on Thursday, August 13th. One equities 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 given a Sell rating to the company's stock. Based on data from MarketBeat.com, Super Micro Computer currently has an average rating of "Hold" and an average target price of $42.13.

Key Headlines Impacting Super Micro Computer

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

• Positive Sentiment: Japan’s review of new AI financing initiatives is supporting interest in AI infrastructure suppliers, including Super Micro, by raising expectations for additional data-center and AI-server spending. What's Going On With Super Micro Stock Thursday
• Positive Sentiment: Super Micro has begun shipping NVIDIA’s Vera Rubin NVL72 liquid-cooled server racks. Its Data Center Building Block Solutions are designed to shorten deployment times, strengthening the company’s position as an integrated AI-infrastructure provider. Super Micro Computer Ships NVIDIA Vera Rubin NVL72 Racks
• Positive Sentiment: Reports cite a backlog of roughly $60 billion and a potential $72 billion revenue target, giving investors confidence in demand if Super Micro can convert orders into shipments and revenue. Super Micro’s Vera Rubin Shipments Put Its AI Infrastructure Advantage to the Test
• Positive Sentiment: Super Micro trades below 10 times forward earnings in one comparison, substantially below Hewlett Packard Enterprise’s roughly 14 times multiple. The discount may attract value-oriented investors, provided execution and margins hold up. HPE vs. Super Micro: Which AI Server Stock Offers the Better Risk-Reward?
• Neutral Sentiment: September short-interest data reported zero shares short and a zero-day short-interest ratio, an unusual result that offers little evidence of either significant bearish positioning or short-covering support.
• Negative Sentiment: The rollout of newer NVIDIA systems is also a competitive test: Super Micro must demonstrate that its rack integration, liquid cooling, supply chain, and margins can keep pace as AI-server designs change. Super Micro Stock Slips as New NVIDIA AI Systems Enter the Market
• Negative Sentiment: Broader AI stocks faced pressure as rising bond yields encouraged investors to reduce exposure to higher-growth technology shares, creating a market-related headwind for SMCI despite its company-specific catalysts. Intel, Marvell, Super Micro, Meta, MGM, and More Stocks That Explain Today’s Market

About Super Micro Computer

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.

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