Super Micro Computer could issue a positive announcement ahead of its early August earnings for its fiscal fourth quarter, potentially giving investors good news to look forward to after the server company's third-quarter revenue miss , Wells Fargo said. Super Micro has, on average, either preannounced or published its earnings release date on the 19th day after the close of its quarterly results, with the range of between 18 and 24 days, according to analysts led by Aaron Rakers. That leaves Wells Fargo optimistic about a possible update from the company late next week, particularly given improved sentiment and valuation behind the stock.
"With indications of some large scale GPU cluster deployments (e.g., xAI's supercomputer, Meta, Tesla, etc.
) and an increasingly visible emphasis on volume deployments of the company's direct-liquid cooling/DLC rack-scale offerings, we see investor sentiment as being reflective of an upside pre-announcement," Rakers said in an eight-page note Wednesday. Rakers maintained his equal weight rating and $890 target price ahead of Super Micro's quarterly results, which FactSet says are due Aug. 6.
Wells' target is right around where Super Micro closed Tuesday, at $895.61. But under the most optimistic, upside scenario, Wells targets the stock at $1,200, suggesting 34% upside.
This year, Super Micro has more than tripled, climbing 215%, as analysts have touted the company as a back-door play on artificial intelligence. Super Micro makes artificial.
