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SMCIP — Super Micro Computer News Story

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Super Micro Computer Q4 revenue nearly doubles on surging AI infrastructure demand; sees upbeat annual sales

Super Micro Computer Q4 revenue nearly doubles on surging AI infrastructure demand; sees upbeat annual sales


Overview

  • U.S. IT solutions provider's preliminary Q4 revenue rose yr/yr but missed analyst expectations

  • Preliminary adjusted EPS for Q4 beat analyst expectations

  • Company says improved profitability driven by enterprise customer mix and broader DCBBS adoption

  • Shares of the company jumped about 7.4% in extended trading


Outlook

  • Company expects Q1 2027 net sales of $14.5 bln to $15.5 bln

  • Super Micro Computer sees Q1 2027 non-GAAP EPS of $1.01 to $1.10

  • Company forecasts FY 2027 net sales of $65.0 bln to $72.0 bln


Result Drivers

  • ENTERPRISE CUSTOMER MIX - Co said improved profitability was driven by a richer enterprise customer mix

  • DCBBS ADOPTION - Broader adoption of Data Center Building Block Solutions architecture contributed to improved results

  • AI/IT SOLUTIONS DEMAND - Co said its Total AI/IT Solutions strategy and new customer additions supported strong results


Company press release: ID:nBw7w6PFGa


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q4 Sales

Miss

$11.10 bln

$11.55 bln (15 Analysts)

Q4 Adjusted EPS

Beat

$1.70

$0.96 (17 Analysts)

Q4 EPS

$1.62

Q4 Net Income

$1.18 bln

Q4 Adjusted Gross Margin

17.6%


Analyst Coverage

  • The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 5 "strong buy" or "buy", 12 "hold" and 4 "sell" or "strong sell"

  • The average consensus recommendation for the computer hardware peer group is "buy"

  • Wall Street's median 12-month price target for Super Micro Computer Inc is $37.50, about 19.2% above its August 10 closing price of $31.46

  • The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 10 three months ago


Reuters Recommended Reads

  • Aug 10 - Rackspace Q2 revenue beats analyst estimates on private cloud growth

  • Aug 10 - Quantum Corp's Q1 revenue rises on storage solutions demand, flags supply constraints

  • Aug 10 - Lenders scrutinize US data center financing as community opposition builds


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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