- On Friday, Super Micro Computer managed to record a higher high within its descending price trend, and now it really needs a fundamentally changing catalyst to keep going up.
- Despite margin pressures, SMCI’s heavy R&D investments in the recent past and expanding data center solutions position it well in a growing market.
- SMCI’s new manufacturing facilities in Malaysia and Silicon Valley should enhance production efficiency, potentially boosting margins and stock price.
- Expecting higher-than-anticipated margins for the past quarter, I think SMCI has a real chance to make a comeback, driven by its undervaluation.
- I believe that tomorrow the market should receive that final bullish confirmation as Super Micro is set to report its Q2 FY2025 results (February 11, 2025, at 5:00 p.m. ET time).
- I am Oakoff Investments, a quantitative research analyst. I run the investing group Beyond the Wall Investing where I specialize in uncovering mispriced stocks based on proprietary Wall Street information.
My Thesis Update
I initiated my coverage of Super Micro Computer (NASDAQ:SMCI) (NEOE:SMCI:CA) on January 12, 2024, with a “Buy” rating. I thought that the stock rally was yet to come to an end as the AI trend.
Struggle to access the latest reports from banks and hedge funds?
With just one subscription to Beyond the Wall Investing, you can save thousands of dollars a year on equity research reports from banks. You’ll keep your finger on the pulse and have access to the latest and highest-quality analysis of this type of information. Oakoff Investments is a personal portfolio manager and a quantitative research analyst with 5 years helping readers find a reasonable balance between growth and value by sharing proprietary Wall Street information. He leads the investing group Beyond The Wall Investing with features that include: a fundamentals-based portfolio, weekly analysis on insights from institutional investors, regular alerts for short-term trade ideas based on technical signals, ticker feedback by request from readers, and community chat. Learn more.
