From Nasdaq: 2024-09-19 04:06:00

Nvidia has seen significant growth this year due to interest in AI, with the stock up 136% since January. However, focusing solely on one AI stock may not be the best strategy. Instead, investors should consider Super Micro Computer, a leader in AI servers with a 10-for-1 stock split planned for September, offering 195% upside potential.

Super Micro Computer stands out with its accelerated computing platforms, including storage systems and servers for data centers. Its internal manufacturing capabilities and modular product development approach give it a competitive edge, allowing for quicker releases of new technologies than competitors. Analysts value the stock at $1,300 per share, indicating a promising future.

Despite reporting mixed financial results in Q4 of fiscal 2024, Super Micro is expected to see growth in adjusted earnings of 41% annually through fiscal 2026. Despite concerns about contracting margins and a recent short report, the stock is trading at a bargain price, making it an attractive option for risk-tolerant investors with the potential for a rebound.

While Super Micro Computer offers potential for growth, investors should consider all factors before investing. Analysts recommend considering a diversified portfolio and staying informed on the latest developments. The stock has seen volatility due to recent events, but could present opportunities for those willing to take on the risk.



Read more at Nasdaq: Forget Nvidia: 1 Stock-Split AI Stock to Buy Before It Soars 195%, According to Certain Wall Street Analysts