Super Micro Computer (NASDAQ:SMCI) Shares Gap Up - Here's Why

Super Micro Computer, Inc. (NASDAQ:SMCI - Get Free Report)'s share price gapped up before the market opened on Wednesday . The stock had previously closed at $38.89, but opened at $45.93. Super Micro Computer shares last traded at $44.18, with a volume of 62,605,797 shares.

Analyst Upgrades and Downgrades

Several brokerages have recently commented on SMCI. Rosenblatt Securities dropped their target price on shares of Super Micro Computer from $55.00 to $50.00 and set a "buy" rating for the company in a research report on Wednesday, May 7th. Raymond James assumed coverage on shares of Super Micro Computer in a research note on Tuesday. They issued an "outperform" rating and a $41.00 price objective on the stock. Wedbush reaffirmed a "neutral" rating and issued a $30.00 target price (down previously from $40.00) on shares of Super Micro Computer in a report on Wednesday, May 7th. Northland Securities set a $59.00 price target on Super Micro Computer in a research note on Wednesday, May 7th. Finally, Barclays reaffirmed an "equal weight" rating and issued a $34.00 price objective on shares of Super Micro Computer in a research note on Tuesday, May 6th. Three analysts have rated the stock with a sell rating, eleven have issued a hold rating, six have given a buy rating and one has given a strong buy rating to the stock. According to MarketBeat, the company currently has an average rating of "Hold" and an average target price of $45.25.

Super Micro Computer Stock Up 17.7%

The company has a debt-to-equity ratio of 0.32, a quick ratio of 1.93 and a current ratio of 3.77. The stock's fifty day simple moving average is $35.30 and its two-hundred day simple moving average is $35.02. The stock has a market capitalization of $27.31 billion, a P/E ratio of 23.10 and a beta of 1.36.

Super Micro Computer (NASDAQ:SMCI - Get Free Report) last issued its quarterly earnings data on Tuesday, May 6th. The company reported $0.31 earnings per share for the quarter, topping the consensus estimate of $0.30 by $0.01. The company had revenue of $4.60 billion for the quarter, compared to analysts' expectations of $5.40 billion. Super Micro Computer had a net margin of 8.09% and a return on equity of 30.57%. Super Micro Computer's revenue for the quarter was up 19.5% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.66 earnings per share. As a group, research analysts expect that Super Micro Computer, Inc. will post 1.86 EPS for the current fiscal year.

Insider Transactions at Super Micro Computer

In other Super Micro Computer news, Director Robert L. Blair sold 19,460 shares of Super Micro Computer stock in a transaction that occurred on Friday, February 28th. The stock was sold at an average price of $42.58, for a total value of $828,606.80. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, SVP George Kao sold 71,720 shares of the stock in a transaction that occurred on Wednesday, February 26th. The stock was sold at an average price of $50.48, for a total value of $3,620,425.60. Following the transaction, the senior vice president now owns 19,449 shares in the company, valued at $981,785.52. The trade was a 78.67% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 137,473 shares of company stock worth $6,771,552. Company insiders own 17.60% of the company's stock.

Institutional Trading of Super Micro Computer

Several hedge funds have recently modified their holdings of SMCI. Vanguard Group Inc. grew its holdings in Super Micro Computer by 3.9% in the first quarter. Vanguard Group Inc. now owns 64,407,769 shares of the company's stock worth $2,205,322,000 after purchasing an additional 2,415,276 shares during the period. Geode Capital Management LLC boosted its position in shares of Super Micro Computer by 914.7% during the 4th quarter. Geode Capital Management LLC now owns 12,846,717 shares of the company's stock worth $390,572,000 after purchasing an additional 11,580,677 shares in the last quarter. FMR LLC acquired a new stake in shares of Super Micro Computer in the 4th quarter valued at about $292,869,000. Invesco Ltd. increased its position in Super Micro Computer by 929.5% in the 4th quarter. Invesco Ltd. now owns 7,542,742 shares of the company's stock valued at $229,903,000 after buying an additional 6,810,082 shares in the last quarter. Finally, Northern Trust Corp raised its stake in Super Micro Computer by 1,573.8% during the 4th quarter. Northern Trust Corp now owns 4,897,876 shares of the company's stock worth $149,287,000 after buying an additional 4,605,260 shares during the period. 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.

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