Yahoo Finance Super Micro Computer (SMCI) Stock Sinks As Market Gains: What You Should Know
The latest trading session saw Super Micro Computer (SMCI) ending at $831.16, denoting a -1.42% adjustment from its last day's close. The stock trailed the S&P 500, which registered a daily gain of 0.16%. On the other hand, the Dow registered a gain of 0.04%, and the technology-centric Nasdaq increased by 0.49%.
The server technology company's shares have seen a decrease of 3.61% over the last month, not keeping up with the Computer and Technology sector's gain of 5.94% and the S&P 500's gain of 3.22%.
The upcoming earnings release of Super Micro Computer will be of great interest to investors. On that day, Super Micro Computer is projected to report earnings of $8.08 per share, which would represent year-over-year growth of 130.2%. In the meantime, our current consensus estimate forecasts the revenue to be $5.3 billion, indicating a 142.58% growth compared to the corresponding quarter of the prior year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $23.82 per share and revenue of $14.93 billion, indicating changes of +101.69% and +109.66%, respectively, compared to the previous year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Super Micro Computer. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. At present, Super Micro Computer boasts a Zacks Rank of #3 (Hold).
Looking at valuation, Super Micro Computer is presently trading at a Forward P/E ratio of 35.4. This indicates a premium in contrast to its industry's Forward P/E of 27.02.
Investors should also note that SMCI has a PEG ratio of 0.68 right now. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. By the end of yesterday's trading, the Computer- Storage Devices industry had an average PEG ratio of 1.54.
The Computer- Storage Devices industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 99, positioning it in the top 40% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Super Micro Computer, Inc. (SMCI) : Free Stock Analysis Report
