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Super Micro Computer (SMCI) Beats Stock Market Upswing: What Investors Need to Know
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The latest trading session saw Super Micro Computer (SMCI - Free Report) ending at $1,015.57, denoting a +0.56% adjustment from its last day's close. The stock outpaced the S&P 500's daily gain of 0.11%. Meanwhile, the Dow lost 0.11%, and the Nasdaq, a tech-heavy index, added 0.23%.
The server technology company's stock has dropped by 7.42% in the past month, falling short of the Computer and Technology sector's gain of 1.54% and the S&P 500's gain of 1.5%.
Analysts and investors alike will be keeping a close eye on the performance of Super Micro Computer in its upcoming earnings disclosure. The company is forecasted to report an EPS of $5.97, showcasing a 266.26% upward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.11 billion, up 219.92% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $22.15 per share and revenue of $14.76 billion, indicating changes of +87.55% and +107.26%, respectively, compared to the previous year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Super Micro Computer. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
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 2.93% higher. Super Micro Computer is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, Super Micro Computer currently has a Forward P/E ratio of 45.6. For comparison, its industry has an average Forward P/E of 17.2, which means Super Micro Computer is trading at a premium to the group.
We can also see that SMCI currently has a PEG ratio of 0.82. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. SMCI's industry had an average PEG ratio of 1.4 as of yesterday's close.
The Computer- Storage Devices industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 36, finds itself in the top 15% echelons of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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Super Micro Computer (SMCI) Beats Stock Market Upswing: What Investors Need to Know
The latest trading session saw Super Micro Computer (SMCI - Free Report) ending at $1,015.57, denoting a +0.56% adjustment from its last day's close. The stock outpaced the S&P 500's daily gain of 0.11%. Meanwhile, the Dow lost 0.11%, and the Nasdaq, a tech-heavy index, added 0.23%.
The server technology company's stock has dropped by 7.42% in the past month, falling short of the Computer and Technology sector's gain of 1.54% and the S&P 500's gain of 1.5%.
Analysts and investors alike will be keeping a close eye on the performance of Super Micro Computer in its upcoming earnings disclosure. The company is forecasted to report an EPS of $5.97, showcasing a 266.26% upward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $4.11 billion, up 219.92% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $22.15 per share and revenue of $14.76 billion, indicating changes of +87.55% and +107.26%, respectively, compared to the previous year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Super Micro Computer. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
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 2.93% higher. Super Micro Computer is currently sporting a Zacks Rank of #3 (Hold).
Digging into valuation, Super Micro Computer currently has a Forward P/E ratio of 45.6. For comparison, its industry has an average Forward P/E of 17.2, which means Super Micro Computer is trading at a premium to the group.
We can also see that SMCI currently has a PEG ratio of 0.82. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. SMCI's industry had an average PEG ratio of 1.4 as of yesterday's close.
The Computer- Storage Devices industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 36, finds itself in the top 15% echelons of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.