Super Micro Computer (SMCI) is expected to report its delayed annual report and quarterly report with the SEC (Securities and Exchange Commission) today. All eyes are on whether SMCI will hit or miss the reporting deadline. Having said that, the CEO has shown confidence in filing the reports stating, the company “believes it will make such filings” by February 25.
If SMCI misses the deadline, it faces the potential of getting delisted from the Nasdaq stock exchange. On the other hand, Super Micro Computer’s stock could explode if the AI (artificial intelligence) server maker complies with the deadline.
Investors Wait on SMCI’s Promise
SMCI stock was down nearly 8% yesterday, as investors fretted over the repercussions of a miss. Investors’ wait has been long and daunting, from SMCI’s initial default in reporting the audited annual report for year ending June 30, 2024, in August. Additionally, SMCI is also expected to report audited results for the quarter ending September 30, 2024, today.
The only silver lining for SMCI’s investors is that the company showed commitment to report the filings, when it said that it “continues to work diligently” toward the goal on February 11. Investors have been patient and stood by the company’s promises, which is proven from SMCI stock’s year to date gain of over 69%. This has even surpassed the advances of the S&P 500 (SPX) index, making it one of the largest gainers so far.
Does SMCI Have a Future?
SMCI’s future rests upon it meeting or missing the reporting deadline today. Analysts are also waiting patiently on the sidelines on SMCI stock until the dust settles. Should SMCI surpass this feat, the future looks quite bright. SMCI has already started integrating Nvidia’s (NVDA) Blackwell GPUs into its servers with advanced air-cooling and liquid-cooling solutions. These Blackwell-fitted servers are expected to witness a massive demand and could likely bolster SMCI’s revenues in the years to come.
On TipRanks, SMCI stock has a Hold consensus rating based on three Buys, two Holds, and two Sell ratings. The average Super Micro Computer stock price forecast of $37.17 implies a nearly 28% downside potential from current levels.
