Super Micro Computer, Inc. (SMCI) shares drop 19% due to trade tensions; projected to rebound.

From Nasdaq: 2025-04-24 11:34:00

Super Micro Computer, Inc. SMCI shares have dropped 19.1% in the last month, lagging behind the broader tech sector. The decline is attributed to a tech stock sell-off due to trade tensions and economic growth concerns.

Super Micro Computer is seeing growth in data center and cloud customers, driven by the increased demand for AI workloads. The company’s liquid-cooled servers are popular among cloud service providers, with plans to expand production facilities globally.

Projected to reach $40 billion in annual sales by fiscal 2026, Super Micro Computer’s revenue growth is expected to accelerate. With a strong customer base and attractive valuation, SMCI is a compelling buy, according to Zacks Investment Research.

With earnings growth and a growing customer base, the semiconductor industry is projected to grow significantly. Global semiconductor manufacturing is expected to increase from $452 billion in 2021 to $803 billion by 2028, offering potential investment opportunities.



Read more at Nasdaq: Should Investors Buy SMCI Stock After a 19% Decline in a Month?