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Super Micro Computer (SMCI) Gains But Lags Market: What You Should Know
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Super Micro Computer (SMCI - Free Report) closed the most recent trading day at $71.98, moving +1.58% from the previous trading session. This change lagged the S&P 500's 1.89% gain on the day. Meanwhile, the Dow gained 1%, and the Nasdaq, a tech-heavy index, added 10%.
Heading into today, shares of the server technology company had lost 13.59% over the past month, lagging the Computer and Technology sector's gain of 4.01% and the S&P 500's gain of 2.3% in that time.
Super Micro Computer will be looking to display strength as it nears its next earnings release, which is expected to be January 31, 2023. The company is expected to report EPS of $2.76, up 213.64% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.75 billion, up 49.27% from the prior-year quarter.
SMCI's full-year Zacks Consensus Estimates are calling for earnings of $9.77 per share and revenue of $6.8 billion. These results would represent year-over-year changes of +72.92% and +30.86%, respectively.
Investors might also notice recent changes to analyst estimates for Super Micro Computer. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.1% higher. Super Micro Computer is holding a Zacks Rank of #2 (Buy) right now.
In terms of valuation, Super Micro Computer is currently trading at a Forward P/E ratio of 7.25. This represents a discount compared to its industry's average Forward P/E of 14.88.
The Computer- Storage Devices industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 72, which puts it in the top 29% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow SMCI in the coming trading sessions, be sure to utilize Zacks.com.
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Super Micro Computer (SMCI) Gains But Lags Market: What You Should Know
Super Micro Computer (SMCI - Free Report) closed the most recent trading day at $71.98, moving +1.58% from the previous trading session. This change lagged the S&P 500's 1.89% gain on the day. Meanwhile, the Dow gained 1%, and the Nasdaq, a tech-heavy index, added 10%.
Heading into today, shares of the server technology company had lost 13.59% over the past month, lagging the Computer and Technology sector's gain of 4.01% and the S&P 500's gain of 2.3% in that time.
Super Micro Computer will be looking to display strength as it nears its next earnings release, which is expected to be January 31, 2023. The company is expected to report EPS of $2.76, up 213.64% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.75 billion, up 49.27% from the prior-year quarter.
SMCI's full-year Zacks Consensus Estimates are calling for earnings of $9.77 per share and revenue of $6.8 billion. These results would represent year-over-year changes of +72.92% and +30.86%, respectively.
Investors might also notice recent changes to analyst estimates for Super Micro Computer. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 2.1% higher. Super Micro Computer is holding a Zacks Rank of #2 (Buy) right now.
In terms of valuation, Super Micro Computer is currently trading at a Forward P/E ratio of 7.25. This represents a discount compared to its industry's average Forward P/E of 14.88.
The Computer- Storage Devices industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 72, which puts it in the top 29% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow SMCI in the coming trading sessions, be sure to utilize Zacks.com.