Super Micro Computer (NASDAQ:SMCI) Stock Price Down 6.2% on Disappointing Earnings

Shares of Super Micro Computer, Inc. (NASDAQ:SMCI) traded down 6.2% during mid-day trading on Tuesday following a weaker than expected earnings announcement. The stock traded as low as $46.86 and last traded at $47.61. 33,068,777 shares changed hands during mid-day trading, a decline of 32% from the average session volume of 48,815,031 shares. The stock had previously closed at $50.75.

The company reported $0.26 earnings per share for the quarter, missing analysts’ consensus estimates of $0.46 by ($0.20). Super Micro Computer had a net margin of 4.77% and a return on equity of 17.14%. Super Micro Computer has set its Q2 2026 guidance at 0.460-0.540 EPS. FY 2026 guidance at EPS.

Wall Street Analysts Forecast Growth

SMCI has been the subject of several recent analyst reports. Sanford C. Bernstein raised Super Micro Computer to a “hold” rating in a report on Tuesday, September 16th. Wall Street Zen raised Super Micro Computer from a “sell” rating to a “hold” rating in a report on Saturday, October 18th. Citigroup reissued a “neutral” rating and set a $52.00 price objective (up previously from $37.00) on shares of Super Micro Computer in a report on Friday, July 11th. Bank of America initiated coverage on Super Micro Computer in a report on Wednesday, July 9th. They set an “underperform” rating and a $35.00 price objective for the company. Finally, Zacks Research raised Super Micro Computer to a “hold” rating in a report on Monday, August 11th. One investment analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, nine have given a Hold rating and two have issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average target price of $47.57.

Insider Buying and Selling

In other news, CFO David E. Weigand sold 25,000 shares of the stock in a transaction that occurred on Monday, September 15th. The stock was sold at an average price of $45.14, for a total transaction of $1,128,500.00. Following the completion of the sale, the chief financial officer owned 100,188 shares of the company’s stock, valued at approximately $4,522,486.32. This represents a 19.97% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, SVP George Kao sold 40,000 shares of the stock in a transaction that occurred on Friday, August 22nd. The shares were sold at an average price of $43.88, for a total value of $1,755,200.00. Following the sale, the senior vice president directly owned 21,820 shares of the company’s stock, valued at approximately $957,461.60. This trade represents a 64.70% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders have sold 90,000 shares of company stock valued at $3,890,950. Insiders own 16.30% of the company’s stock.

Institutional Trading of Super Micro Computer

A number of institutional investors have recently made changes to their positions in the stock. Atlantic Union Bankshares Corp boosted its stake in shares of Super Micro Computer by 50,400.0% during the third quarter. Atlantic Union Bankshares Corp now owns 1,515 shares of the company’s stock valued at $73,000 after purchasing an additional 1,512 shares during the period. State of Wyoming purchased a new stake in shares of Super Micro Computer during the third quarter valued at approximately $233,000. Jones Financial Companies Lllp raised its holdings in shares of Super Micro Computer by 23.5% during the third quarter. Jones Financial Companies Lllp now owns 98,858 shares of the company’s stock valued at $4,530,000 after acquiring an additional 18,784 shares in the last quarter. Mediolanum International Funds Ltd bought a new position in shares of Super Micro Computer during the third quarter valued at approximately $1,272,000. Finally, Meridian Wealth Management LLC raised its holdings in shares of Super Micro Computer by 24.4% during the third quarter. Meridian Wealth Management LLC now owns 6,685 shares of the company’s stock valued at $320,000 after acquiring an additional 1,312 shares in the last quarter. Hedge funds and other institutional investors own 84.06% of the company’s stock.

Super Micro Computer Stock Performance

The company has a quick ratio of 3.25, a current ratio of 5.25 and a debt-to-equity ratio of 0.74. The company has a market cap of $28.29 billion, a P/E ratio of 28.68, a P/E/G ratio of 1.30 and a beta of 1.55. The business has a fifty day moving average of $48.39 and a 200 day moving average of $45.73.

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.