SMCI Stock Recent News

Super Micro Computer's revenues are climbing fast, but shrinking margins raise questions about its ability to scale profitably in server and liquid cooling.

Palantir Technologies (PLTR -9.37%) and Super Micro Computer (SMCI -3.43%) are two of the most popular artificial intelligence (AI) stocks on the market. Since January 2023, Palantir has returned 1,900%, and Supermicro has returned 480%.

Super Micro Computer (SMCI) reached $47.58 at the closing of the latest trading day, reflecting a -3.43% change compared to its last close.

Super Micro's agile, modular server design and U.S. manufacturing position it as a key beneficiary in the AI data-center build-out. Rapid iteration, liquid-cooling expertise, and alignment with U.S. policy incentives drive share gains and create a sticky customer base. Despite recent margin compression and guidance reset, robust cash flow and balance sheet support continued expansion and resilience.

I maintain a Hold on Super Micro Computer: bullish on fundamentals, but valuation and volatility concerns keep me cautious despite recent price corrections. SMCI's AI hardware leverage is compelling, but risks include customer concentration, execution challenges, and high competition with no clear moat. Option-writing ETF YieldMax SMCI Option Income Strategy ETF fails to mitigate SMCI's volatility or capture meaningful upside, making it an unattractive alternative for risk-averse investors.

SAN JOSE, Calif.--(BUSINESS WIRE)--Super Micro Computer, Inc. (NASDAQ: SMCI) (“Supermicro” or the “Company”), a Total IT Solution Manufacturer for AI, Cloud, Storage, and 5G/Edge, today announced the closing of $2.3 billion aggregate principal amount of convertible senior notes due 2030 (the “notes”) including the exercise in full of the option granted to the initial purchasers to purchase up to $300.0 million aggregate principal amount of notes. “We want to thank our investors who share our vi.

Super Micro Computer Inc (NASDAQ:SMCI) stock was last seen 5.4% higher to trade at $49.14, brushing off Keybanc's new "sector weight" rating, with the analyst in question highlighting competitive pressure in the artificial intelligence (AI) space.

I reiterate my 'Buy' rating on SMCI, highlighting the recent $2B convertible notes offering as a bullish catalyst for future growth. The capital raise positions SMCI to aggressively capture AI infrastructure demand, especially with NVIDIA's Blackwell architecture ramping up. The offering structure, including capped calls and share repurchases, should minimize dilution risk and signal management's confidence in undervalued shares.

SMCI's new DCBBS aims to transform data centers with liquid-cooled, rack-scale AI systems.

The company announced a $2 billion senior convertible note offering on Monday.