Super Micro Computer (NASDAQ:SMCI) Trading Down 2.2% – Should You Sell?

Super Micro Computer, Inc. (NASDAQ:SMCI)’s share price was down 2.2% during trading on Monday . The company traded as low as $44.14 and last traded at $45.13. Approximately 21,955,598 shares were traded during trading, a decline of 70% from the average daily volume of 72,509,644 shares. The stock had previously closed at $46.15.

Analyst Ratings Changes

A number of brokerages recently weighed in on SMCI. Raymond James began coverage on Super Micro Computer in a research report on Tuesday, May 13th. They set an “outperform” rating and a $41.00 price objective on the stock. Cfra raised Super Micro Computer from a “hold” rating to a “buy” rating and set a $48.00 price target on the stock in a research note on Tuesday, February 11th. Mizuho increased their price objective on Super Micro Computer from $32.00 to $40.00 and gave the stock a “neutral” rating in a research note on Monday. Citigroup initiated coverage on Super Micro Computer in a research report on Tuesday, May 6th. They set a “neutral” rating and a $39.00 price target for the company. Finally, KGI Securities initiated coverage on Super Micro Computer in a report on Wednesday, May 7th. They issued a “neutral” rating for the company. Three equities research analysts have rated the stock with a sell rating, eleven have issued a hold rating, five have given a buy rating and one has given a strong buy rating to the stock. According to data from MarketBeat, the company has an average rating of “Hold” and an average target price of $45.63.

Super Micro Computer Price Performance

The company has a current ratio of 3.77, a quick ratio of 1.93 and a debt-to-equity ratio of 0.32. The company’s fifty day moving average is $35.80 and its two-hundred day moving average is $35.28. The stock has a market cap of $25.94 billion, a price-to-earnings ratio of 21.47 and a beta of 1.36.

Super Micro Computer (NASDAQ:SMCI) last announced its quarterly earnings results on Tuesday, May 6th. The company reported $0.31 EPS for the quarter, topping the consensus estimate of $0.30 by $0.01. The firm had revenue of $4.60 billion for the quarter, compared to analyst estimates of $5.40 billion. Super Micro Computer had a net margin of 8.09% and a return on equity of 30.57%. Super Micro Computer’s revenue for the quarter was up 19.5% compared to the same quarter last year. During the same period last year, the business earned $0.66 EPS. As a group, research analysts predict that Super Micro Computer, Inc. will post 1.86 earnings per share for the current year.

Insider Activity at Super Micro Computer

In other news, CEO Charles Liang sold 46,293 shares of the firm’s stock in a transaction dated Wednesday, February 26th. The shares were sold at an average price of $50.17, for a total value of $2,322,519.81. Following the transaction, the chief executive officer now directly owns 67,403,640 shares in the company, valued at approximately $3,381,640,618.80. This trade represents a 0.07% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, SVP George Kao sold 71,720 shares of the firm’s stock in a transaction dated Wednesday, February 26th. The shares were sold at an average price of $50.48, for a total transaction of $3,620,425.60. Following the transaction, the senior vice president now directly owns 19,449 shares in the company, valued at approximately $981,785.52. The trade was a 78.67% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 137,473 shares of company stock valued at $6,771,552. Company insiders own 17.60% of the company’s stock.

Hedge Funds Weigh In On Super Micro Computer

A number of institutional investors and hedge funds have recently bought and sold shares of SMCI. Integrity Alliance LLC. acquired a new position in Super Micro Computer during the 1st quarter worth about $753,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its stake in shares of Super Micro Computer by 2.7% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 2,892,772 shares of the company’s stock worth $99,049,000 after acquiring an additional 76,776 shares in the last quarter. Woodline Partners LP grew its stake in shares of Super Micro Computer by 1,946.1% during the 1st quarter. Woodline Partners LP now owns 618,768 shares of the company’s stock worth $21,187,000 after acquiring an additional 588,526 shares in the last quarter. MBB Public Markets I LLC bought a new position in shares of Super Micro Computer in the first quarter valued at $275,000. Finally, Meiji Yasuda Asset Management Co Ltd. grew its stake in shares of Super Micro Computer by 6.1% in the first quarter. Meiji Yasuda Asset Management Co Ltd. now owns 8,286 shares of the company’s stock valued at $284,000 after buying an additional 478 shares in the last quarter. Institutional investors own 84.06% of the company’s stock.

About Super Micro Computer

Super Micro Computer, Inc, together with its subsidiaries, develops and manufactures high performance server and storage solutions based on modular and open architecture in the United States, Europe, Asia, and internationally. Its solutions range from complete server, storage systems, modular blade servers, blades, workstations, full racks, networking devices, server sub-systems, server management software, and security software.