Super Micro Computer (NASDAQ:SMCI) Given New $60.00 Price Target at Needham & Company LLC

Key Points

• Needham & Company LLC has raised its price target for Super Micro Computer from $39.00 to $60.00, maintaining a "buy" rating, which indicates a potential upside of 4.79% from the previous closing price.
• The company's stock has seen varied ratings from multiple analysts, with three recommending a sell, eight a hold, and six a buy, reflecting mixed market sentiments.
• Recent stock performance shows a decrease of 1.7%, marking a challenging period for Super Micro Computer despite analyst optimism on future growth prospects.

Super Micro Computer (NASDAQ:SMCI - Get Free Report) had its price target lifted by equities researchers at Needham & Company LLC from $39.00 to $60.00 in a report released on Wednesday,Benzinga reports. The firm presently has a "buy" rating on the stock. Needham & Company LLC's price objective points to a potential upside of 28.23% from the company's previous close.

Several other research analysts also recently weighed in on SMCI. Bank of America initiated coverage on shares of Super Micro Computer in a research note on Wednesday, July 9th. They issued an "underperform" rating and a $35.00 target price for the company. Citigroup reiterated a "neutral" rating and issued a $52.00 target price (up previously from $37.00) on shares of Super Micro Computer in a research note on Friday, July 11th. JPMorgan Chase & Co. upped their price objective on shares of Super Micro Computer from $35.00 to $46.00 and gave the company a "neutral" rating in a research report on Thursday, July 17th. Wall Street Zen raised shares of Super Micro Computer to a "sell" rating in a report on Thursday, May 8th. Finally, Wedbush reaffirmed a "neutral" rating and set a $30.00 target price on shares of Super Micro Computer in a report on Monday. Three equities research 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 stock. Based on data from MarketBeat, the stock currently has an average rating of "Hold" and a consensus target price of $43.96.

Super Micro Computer Stock Down 18.3%

NASDAQ SMCI traded down $10.47 during trading on Wednesday, reaching $46.79. 114,843,986 shares of the company's stock were exchanged, compared to its average volume of 39,743,072. The stock has a market cap of $27.93 billion, a P/E ratio of 28.19, a price-to-earnings-growth ratio of 2.79 and a beta of 1.46. The company has a debt-to-equity ratio of 0.38, a quick ratio of 3.95 and a current ratio of 6.66. Super Micro Computer has a 1 year low of $17.25 and a 1 year high of $66.44. The company has a 50 day moving average price of $48.40 and a two-hundred day moving average price of $41.32.

Super Micro Computer (NASDAQ:SMCI - Get Free Report) last issued its quarterly earnings results on Tuesday, August 5th. The company reported $0.41 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.44 by ($0.03). The company had revenue of $5.76 billion during the quarter, compared to analyst estimates of $5.88 billion. Super Micro Computer had a net margin of 4.77% and a return on equity of 17.24%. The business's revenue was up 8.5% on a year-over-year basis. During the same quarter last year, the firm earned $6.25 EPS. On average, equities research analysts anticipate that Super Micro Computer will post 1.86 EPS for the current fiscal year.

Insider Activity

In related news, CEO Charles Liang sold 300,000 shares of the firm's stock in a transaction dated Wednesday, June 18th. The shares were sold at an average price of $45.00, for a total value of $13,500,000.00. Following the transaction, the chief executive officer owned 66,903,640 shares of the company's stock, valued at approximately $3,010,663,800. This trade represents a 0.45% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO David E. Weigand sold 67,000 shares of the company's stock in a transaction dated Tuesday, May 20th. The stock was sold at an average price of $44.02, for a total transaction of $2,949,340.00. Following the completion of the sale, the chief financial officer directly owned 88,599 shares of the company's stock, valued at $3,900,127.98. The trade was a 43.06% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 1,067,000 shares of company stock valued at $53,949,340 in the last ninety days. 17.60% of the stock is owned by company insiders.

Institutional Trading of Super Micro Computer

Several large investors have recently added to or reduced their stakes in the stock. Eastern Bank bought a new position in Super Micro Computer in the 1st quarter valued at approximately $29,000. Bernard Wealth Management Corp. purchased a new position in shares of Super Micro Computer in the fourth quarter worth $33,000. Quarry LP purchased a new position in shares of Super Micro Computer in the fourth quarter worth $34,000. Central Pacific Bank Trust Division bought a new position in shares of Super Micro Computer during the first quarter valued at $34,000. Finally, Beaird Harris Wealth Management LLC purchased a new stake in shares of Super Micro Computer during the first quarter valued at $34,000. Institutional investors own 84.06% of the company's stock.

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.