Super Micro Computer (NASDAQ:SMCI) Trading 3.8% Higher - What's Next?

Key Points

• Super Micro Computer's stock increased by 3.8% to close at $58.77, with 12.27 million shares traded, down 78% from its average volume.
• Analysts' ratings on the stock vary, with a consensus rating of "Hold" and a target price of $42.89, while several institutions hold significant stakes.
• Super Micro Computer posted quarterly earnings of $0.31 per share, surpassing analyst expectations, but revenue fell short of projections at $4.60 billion.

Super Micro Computer, Inc. (NASDAQ:SMCI - Get Free Report)'s share price was up 3.8% during mid-day trading on Monday . The stock traded as high as $59.10 and last traded at $58.77. Approximately 12,274,286 shares changed hands during trading, a decline of 78% from the average daily volume of 56,849,152 shares. The stock had previously closed at $56.64.

Wall Street Analysts Forecast Growth

A number of brokerages recently weighed in on SMCI. Barclays reissued an "equal weight" rating and issued a $34.00 price target on shares of Super Micro Computer in a research report on Tuesday, May 6th. Wedbush reaffirmed a "neutral" rating and set a $30.00 price target on shares of Super Micro Computer in a research note on Monday. Bank of America assumed coverage on shares of Super Micro Computer in a research report on Wednesday, July 9th. They issued an "underperform" rating and a $35.00 price objective for the company. Raymond James Financial started coverage on shares of Super Micro Computer in a report on Wednesday, June 25th. They set an "outperform" rating for the company. Finally, Rosenblatt Securities decreased their price objective on shares of Super Micro Computer from $55.00 to $50.00 and set a "buy" rating for the company in a report on Wednesday, May 7th. Three investment analysts have rated the stock with a sell rating, eight have issued a hold rating, six have issued a buy rating and one has assigned a strong buy rating to the company's stock. Based on data from MarketBeat, the stock currently has a consensus rating of "Hold" and an average price target of $42.89.

Super Micro Computer Price Performance

The company has a current ratio of 6.66, a quick ratio of 3.95 and a debt-to-equity ratio of 0.38. The business's fifty day moving average is $47.99 and its 200 day moving average is $41.17. The firm has a market capitalization of $34.53 billion, a P/E ratio of 30.44, a P/E/G ratio of 2.76 and a beta of 1.46.

Super Micro Computer (NASDAQ:SMCI - Get Free Report) last released its earnings results on Tuesday, May 6th. The company reported $0.31 EPS for the quarter, topping analysts' consensus estimates of $0.30 by $0.01. The business had revenue of $4.60 billion for the quarter, compared to the consensus estimate of $5.40 billion. Super Micro Computer had a net margin of 5.61% and a return on equity of 20.41%. The business's revenue for the quarter was up 19.5% on a year-over-year basis. During the same period in the previous year, the firm earned $0.66 EPS. As a group, analysts forecast that Super Micro Computer, Inc. will post 1.86 EPS for the current year.

Insider Transactions at Super Micro Computer

In other news, CFO David E. Weigand sold 67,000 shares of Super Micro Computer stock in a transaction that occurred on Tuesday, May 20th. The shares were sold at an average price of $44.02, for a total value of $2,949,340.00. Following the transaction, the chief financial officer directly owned 88,599 shares of the company's stock, valued at $3,900,127.98. This trade represents a 43.06% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Charles Liang sold 300,000 shares of Super Micro Computer stock in a transaction that occurred on 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 completion of the transaction, the chief executive officer directly owned 66,903,640 shares in the company, valued at approximately $3,010,663,800. This trade represents a 0.45% decrease in their ownership of the stock. 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 ninety days. Corporate insiders own 17.60% of the company's stock.

Institutional Trading of Super Micro Computer

A number of institutional investors and hedge funds have recently modified their holdings of SMCI. Sei Investments Co. grew its holdings in shares of Super Micro Computer by 617.0% in the 4th quarter. Sei Investments Co. now owns 34,422 shares of the company's stock worth $1,049,000 after purchasing an additional 29,621 shares during the last quarter. Norges Bank bought a new stake in shares of Super Micro Computer in the 4th quarter worth about $10,514,000. O Shaughnessy Asset Management LLC bought a new stake in shares of Super Micro Computer in the 4th quarter worth about $657,000. Wellington Management Group LLP grew its holdings in shares of Super Micro Computer by 461.9% in the 4th quarter. Wellington Management Group LLP now owns 37,133 shares of the company's stock worth $1,132,000 after purchasing an additional 30,525 shares during the last quarter. Finally, Alliancebernstein L.P. grew its holdings in shares of Super Micro Computer by 916.5% in the 4th quarter. Alliancebernstein L.P. now owns 494,545 shares of the company's stock worth $15,074,000 after purchasing an additional 445,893 shares during the last quarter. 84.06% of the stock is currently owned by institutional investors and hedge funds.

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.