Super Micro Computer (NASDAQ:SMCI) Shares Rise 4.3% - Is It a Buy?

Super Micro Computer, Inc. (NASDAQ:SMCI) saw its shares increase by 4.3% on Tuesday, trading at a high of $33.49 before closing at $32.13. During the trading session, about 17,967,497 shares changed hands, which was 39% lower than the average volume of 29,461,273 shares. The stock had previously settled at $30.82.

Analysts' Price Targets

Various analysts have provided insights on SMCI's performance. Northland Capital Markets upgraded their rating on Super Micro Computer to a 'strong buy' on December 20, while Barclays lowered their price target from $438.00 to $42.00, assigning an 'equal weight' rating on October 2. Wedbush maintained a 'neutral' rating but reduced their target price from $62.00 to $32.00 on November 4. The Goldman Sachs Group cut its price target from $67.50 to $28.00, labeling the stock as 'neutral' on November 6. Additionally, Argus moved their rating from 'buy' to 'hold' on October 31. Overall, three analysts suggest selling, eleven recommend holding, four advise buying, and one gives a strong buy recommendation. According to MarketBeat, the stock has a consensus rating of 'Hold' and an average target price of $62.89.

Stock Performance Metrics

Currently, Super Micro Computer's 50-day moving average stands at $33.22, while the 200-day moving average is $45.58. The company maintains a debt-to-equity ratio of 0.32, a current ratio of 3.77, and a quick ratio of 1.93. It holds a market capitalization of $18.69 billion and a price-to-earnings ratio of 16.77, with a beta of 1.31.

Hedge Fund Activities

Recently, several institutional investors and hedge funds have adjusted their positions in Super Micro Computer. New Wave Wealth Advisors LLC established a new stake worth $42,000 in the fourth quarter. Similarly, Defender Capital LLC acquired shares worth $305,000 in the same period. Forsta AP Fonden also bought in during the fourth quarter, with a valuation of about $3.37 million. Notably, Foundations Investment Advisors LLC increased its holdings by an impressive 1,431.5%, now controlling 32,269 shares worth $984,000 after acquiring an additional 30,162 shares. Overall, hedge funds and institutional investors currently own 84.06% of the company’s stock.

About Super Micro Computer

Super Micro Computer, Inc. specializes in the development and manufacturing of high-performance server and storage solutions. Its offerings include complete servers, modular blade servers, storage systems, networking devices, and server management software, serving markets across the U.S., Europe, Asia, and globally.

Investment Considerations

Before considering an investment in Super Micro Computer, it's worth noting that while the stock has a 'Hold' rating among analysts, top-rated analysts believe that other stocks may present better buying opportunities. MarketBeat has identified five top stocks that analysts are recommending to investors right now, excluding Super Micro Computer.

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