Super Micro Computer (NASDAQ:SMCI) Trading Down 7.6% - Here's Why

Key Points

• Super Micro Computer shares fell 7.6% in Tuesday trading, hitting an intraday low of $38.04 before last trading at $40.64. Trading volume was elevated at 46.95 million shares, about 24% above the average session volume.
• Broad weakness in tech and AI stocks appears to be the main driver of the decline, as investors rotated out of high-beta semiconductor and AI hardware names. The article notes SMCI was among the biggest losers in the sector selloff.
• Analyst sentiment remains mixed but cautious, with the consensus rating at Hold and an average price target of $39.00. Recent moves included Mizuho raising its target to $44, while other firms such as Barclays and Wedbush lowered theirs.

Super Micro Computer, Inc. (NASDAQ:SMCI - Get Free Report)'s stock price traded down 7.6% during mid-day trading on Tuesday . The company traded as low as $38.04 and last traded at $40.64. 46,951,039 shares were traded during mid-day trading, an increase of 24% from the average session volume of 38,001,840 shares. The stock had previously closed at $43.99.

More Super Micro Computer News

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

• Positive Sentiment: Mizuho raised its price target on Super Micro Computer, which can support the stock by signaling a more optimistic outlook from analysts. Super Micro Computer (SMCI) Price Target Raised by $8 at Mizuho
• Neutral Sentiment: Short-interest data showed no reported short interest as of June 9, so this filing does not suggest meaningful new bearish positioning in the stock.
• Neutral Sentiment: Recent articles also noted that the broader AI/tech selloff may be short-lived and that investors had been buying the dip in chip stocks earlier in the week, which could help stabilize sentiment if the market tone improves. Market Fear Index Slides as Investors Pile Back Into Tech Stocks
• Negative Sentiment: SMCI shares are being dragged down by weakness across the broader technology sector, with investors rotating out of AI names and semiconductors. Super Micro Computer Stock Trades Lower Amid Market Weakness
• Negative Sentiment: High-beta AI hardware stocks were hit hard in Tuesday’s selloff, and Super Micro was specifically highlighted among the biggest losers, reinforcing the view that macro pressure is driving the stock lower. Super Micro Plunges 11%, Dell Sinks 9% as High-Beta AI Hardware Stocks Get Hit

Wall Street Analyst Weigh In

A number of research analysts recently issued reports on the stock. Weiss Ratings reissued a "hold (c)" rating on shares of Super Micro Computer in a research note on Friday, March 27th. Barclays cut their target price on shares of Super Micro Computer from $38.00 to $34.00 and set an "equal weight" rating on the stock in a research report on Wednesday, May 6th. Wedbush cut their target price on shares of Super Micro Computer from $42.00 to $34.00 and set a "neutral" rating on the stock in a research report on Wednesday, May 6th. The Goldman Sachs Group restated a "sell" rating on shares of Super Micro Computer in a research report on Wednesday, May 6th. Finally, Mizuho raised their target price on shares of Super Micro Computer from $36.00 to $44.00 and gave the company a "neutral" rating in a research report on Monday, June 1st. Four research analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and two have issued a Sell rating to the company's stock. According to data from MarketBeat.com, Super Micro Computer currently has a consensus rating of "Hold" and an average target price of $39.00.

Super Micro Computer Trading Down 7.6%

The company has a market cap of $24.44 billion, a price-to-earnings ratio of 21.50, a price-to-earnings-growth ratio of 0.69 and a beta of 1.86. The business's fifty day moving average price is $31.46 and its 200 day moving average price is $31.19. The company has a debt-to-equity ratio of 0.88, a current ratio of 2.66 and a quick ratio of 1.29.

Super Micro Computer (NASDAQ:SMCI - Get Free Report) last issued its quarterly earnings results on Tuesday, May 5th. The company reported $0.84 EPS for the quarter, topping analysts' consensus estimates of $0.63 by $0.21. The company had revenue of $10.24 billion for the quarter, compared to analyst estimates of $12.39 billion. Super Micro Computer had a net margin of 3.70% and a return on equity of 17.49%. Super Micro Computer's revenue was up 122.7% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.31 earnings per share. Super Micro Computer has set its Q4 2026 guidance at 0.650-0.790 EPS. Research analysts anticipate that Super Micro Computer, Inc. will post 2.12 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Super Micro Computer

Several hedge funds and other institutional investors have recently bought and sold shares of SMCI. Norges Bank acquired a new position in Super Micro Computer in the fourth quarter valued at $136,569,000. Clear Street Group Inc. acquired a new position in Super Micro Computer in the third quarter valued at $147,631,000. Vanguard Group Inc. lifted its holdings in Super Micro Computer by 4.1% in the third quarter. Vanguard Group Inc. now owns 68,848,777 shares of the company's stock valued at $3,300,610,000 after buying an additional 2,695,829 shares during the period. Dimensional Fund Advisors LP lifted its holdings in Super Micro Computer by 833.8% in the third quarter. Dimensional Fund Advisors LP now owns 2,939,536 shares of the company's stock valued at $140,882,000 after buying an additional 2,624,746 shares during the period. Finally, Invesco Ltd. lifted its holdings in Super Micro Computer by 21.2% in the fourth quarter. Invesco Ltd. now owns 9,953,780 shares of the company's stock valued at $291,347,000 after buying an additional 1,738,749 shares during the period. Institutional investors and hedge funds own 84.06% of the company's stock.

About Super Micro Computer

Super Micro Computer, Inc (Supermicro) is a technology company that designs, develops and manufactures high-performance server, storage and networking solutions for enterprise, cloud, data center, high performance computing (HPC) and edge computing customers. The company's product portfolio includes rackmount and blade servers, storage subsystems, motherboards, chassis, power supplies and networking components, with an emphasis on high-density, energy-efficient configurations and platforms optimized for GPU-accelerated workloads and artificial intelligence applications.

Headquartered in San Jose, California, Supermicro combines in-house engineering with a global manufacturing and distribution footprint to deliver configurable, application-specific systems.

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