Super Micro Computer (NASDAQ:SMCI) Upgraded to “Buy” by Zacks Investment Research

Super Micro Computer (NASDAQ:SMCIGet Rating) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a report released on Friday, Zacks.com reports. The firm currently has a $50.00 target price on the stock. Zacks Investment Research‘s target price indicates a potential upside of 17.04% from the stock’s previous close.

According to Zacks, “Super Micro Computer, Inc. designs, develops, manufactures and sells energy-efficient, application optimized server solutions based on the x86 architecture. The Company’s solutions include a range of rack mount and blade server systems, as well as components. Supermicro emphasizes superior product design and uncompromising quality control to produce industry-leading serverboards, chassis and server systems. These Server Building Block Solutions provide benefits across many environments, including data center deployment, high-performance computing, high-end workstations, storage networks and standalone server installations. Super Micro Computer sells its server systems and components primarily through distributors, which include value-added resellers and system integrators, and to a lesser extent, to original equipment manufacturers (OEMs). Super Micro Computer, Inc. is headquartered in San Jose, California. “

Separately, StockNews.com assumed coverage on Super Micro Computer in a research report on Thursday, March 31st. They set a “hold” rating for the company. One analyst has rated the stock with a hold rating and six have given a buy rating to the stock. Based on data from MarketBeat, Super Micro Computer has a consensus rating of “Buy” and a consensus price target of $52.00.

Shares of SMCI opened at $42.72 on Friday. The business has a 50-day moving average of $39.92 and a 200 day moving average of $40.87. Super Micro Computer has a fifty-two week low of $32.88 and a fifty-two week high of $47.99. The firm has a market cap of $2.22 billion, a P/E ratio of 18.18 and a beta of 1.36. The company has a debt-to-equity ratio of 0.12, a quick ratio of 0.75 and a current ratio of 1.91.

Super Micro Computer (NASDAQ:SMCIGet Rating) last announced its quarterly earnings data on Tuesday, February 1st. The company reported $0.76 earnings per share for the quarter, topping the consensus estimate of $0.65 by $0.11. Super Micro Computer had a return on equity of 11.50% and a net margin of 3.00%. The company had revenue of $1.17 billion during the quarter, compared to analyst estimates of $1.15 billion. During the same quarter last year, the firm posted $0.55 EPS. The firm’s revenue for the quarter was up 41.2% on a year-over-year basis. As a group, research analysts predict that Super Micro Computer will post 2.67 earnings per share for the current fiscal year.

In other Super Micro Computer news, Director Sherman Tuan sold 9,604 shares of Super Micro Computer stock in a transaction that occurred on Thursday, February 10th. The stock was sold at an average price of $39.00, for a total value of $374,556.00. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, CEO Charles Liang sold 5,388 shares of Super Micro Computer stock in a transaction that occurred on Tuesday, April 19th. The stock was sold at an average price of $42.00, for a total value of $226,296.00. Following the completion of the transaction, the chief executive officer now directly owns 45,305 shares in the company, valued at $1,902,810. The disclosure for this sale can be found here. Insiders sold a total of 54,604 shares of company stock valued at $2,231,678 in the last 90 days. 15.80% of the stock is currently owned by corporate insiders.

A number of institutional investors have recently made changes to their positions in SMCI. Mitsubishi UFJ Trust & Banking Corp purchased a new position in Super Micro Computer in the 3rd quarter worth approximately $80,000. Zurcher Kantonalbank Zurich Cantonalbank increased its stake in Super Micro Computer by 10.5% in the 1st quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 4,815 shares of the company’s stock worth $183,000 after purchasing an additional 459 shares during the period. Cornerstone Investment Partners LLC purchased a new position in Super Micro Computer in the 4th quarter worth approximately $204,000. Citigroup Inc. increased its stake in Super Micro Computer by 40.4% in the 3rd quarter. Citigroup Inc. now owns 5,713 shares of the company’s stock worth $209,000 after purchasing an additional 1,645 shares during the period. Finally, Allianz Asset Management GmbH purchased a new position in Super Micro Computer in the 4th quarter worth approximately $224,000. 69.02% of the stock is currently owned by institutional investors and hedge funds.

Super Micro Computer Company Profile (Get Rating)

Super Micro Computer, Inc, together with its subsidiaries, develops and manufactures high-performance server and storage solutions based on modular and open architecture. Its solutions range from complete server, storage, modular blade servers, blades, workstations, full racks, networking devices, server management software, and server sub-systems, as well as support and services.

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