San Jose, California – Super Micro Computer Inc. (SMCI) don reduce im full-year revenue outlook, and dis one don send im shares down during after-hours trading on Tuesday, May 6.
Di company, wey dey manufacture server and dey partner with Nvidia, now dey expect revenue for fiscal year 2025 to fall between $21.8 billion and $22.6 billion, which be lower than di previous forecast of $23.5 billion to $25 billion. Na wetin make Supermicro shares drop more than 6% after di announcement.
For di fiscal third quarter, Supermicro report revenue of $4.6 billion, which better pass di result wey dem achieve last year by nearly 20%, and e dey at di high end of dia prediction. But di adjusted earnings wey dem report, na 31 cents per share, don drop from 66 cents per share wey dem report last year.
Supermicro dey anticipate fourth-quarter sales go be between $5.6 billion and $6.4 billion, with adjusted earnings per share dey expected between 40 cents to 50 cents. CEO Charles Liang talk say some clients wey dey patronize dem don delay to make product decisions for di period, which push some sales into di next quarters.
“We dey expect many of those commitments to land for di June and September quarters, and dis one dey give me confidence we go fit meet our long-term targets. But economic uncertainty and tariff impacts fit affect di short-term,” Liang talk.
Dis year, Supermicro stock don dey face plenty volatility as concern don dey arise over di company accounting practices and some delayed filings wey dey cause worry sey dem fit get delisted from Nasdaq.
Despite di turbulent time, some analysts still believe say Super Micro get long-term potential, especially for di growing AI server industry. According to data wey dem gather, di average one-year price target for Super Micro Computer Inc. na $44.93, which include high estimate of $73.00 and a low estimate of $15.00.
Di average price target dey imply say investors fit see 36.39% increase for di current share price of $32.94. Super Micro get a score of 2.8 from 15 brokerage firms, wey show say dem dey in di “Hold” category, signifying a neutral status among analysts.
In di face of all dis challenges, analysts hope say future performance for Super Micro go improve, as dem dey navigate di high expectations for AI server market. If dem fit deliver strong financial results and positive outlook in di upcoming earnings call, e fit help calm di nervous investors.
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