Super Micro Computer (NASDAQ:SMCI) Trading 7.9% Higher – Still a Buy?

Super Micro Computer, Inc. (NASDAQ:SMCI) rose 7.9% on Monday . The stock traded as high as $34.15 and last traded at $32.17. Approximately 29,240,477 shares changed hands during mid-day trading, a decline of 60% from the average daily volume of 73,226,929 shares. The stock had previously closed at $29.82.

Analyst Ratings Changes

A number of equities research analysts have recently issued reports on the company. JPMorgan Chase & Co. upgraded Super Micro Computer from an “underweight” rating to a “neutral” rating and increased their target price for the company from $35.00 to $45.00 in a research note on Friday, March 21st. Rosenblatt Securities began coverage on shares of Super Micro Computer in a research note on Monday, March 10th. They set a “buy” rating and a $60.00 price objective on the stock. Wedbush reissued a “hold” rating on shares of Super Micro Computer in a research report on Tuesday, February 18th. Cfra raised shares of Super Micro Computer from a “hold” rating to a “buy” rating and set a $48.00 price target for the company in a report on Tuesday, February 11th. Finally, StockNews.com upgraded shares of Super Micro Computer to a “sell” rating in a report on Friday, February 28th. Three investment analysts have rated the stock with a sell rating, ten have given a hold rating, five have issued a buy rating and one has assigned a strong buy rating to the company’s stock. According to data from MarketBeat.com, Super Micro Computer currently has a consensus rating of “Hold” and a consensus price target of $53.00.

Super Micro Computer Trading Up 10.7 %

The stock has a market cap of $19.58 billion, a price-to-earnings ratio of 16.57 and a beta of 1.22. The business’s fifty day simple moving average is $39.47 and its 200 day simple moving average is $37.25. The company has a debt-to-equity ratio of 0.32, a current ratio of 3.77 and a quick ratio of 1.93.

Insider Buying and Selling

In related news, SVP George Kao sold 71,720 shares of the company’s stock in a transaction on Wednesday, February 26th. The stock was sold at an average price of $50.48, for a total transaction of $3,620,425.60. Following the completion of the transaction, the senior vice president now directly owns 19,449 shares in the company, valued at $981,785.52. This represents a 78.67 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Charles Liang sold 46,293 shares of the firm’s stock in a transaction on Wednesday, February 26th. The shares were sold at an average price of $50.17, for a total value of $2,322,519.81. Following the completion of the sale, the chief executive officer now owns 67,403,640 shares in the company, valued at $3,381,640,618.80. The trade was a 0.07 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 137,473 shares of company stock worth $6,771,552 over the last quarter. 17.60% of the stock is owned by company insiders.

Institutional Trading of Super Micro Computer

Large investors have recently added to or reduced their stakes in the business. Clear Creek Financial Management LLC acquired a new stake in Super Micro Computer in the fourth quarter worth about $635,000. Nepsis Inc. bought a new position in shares of Super Micro Computer in the fourth quarter valued at approximately $13,625,000. Sanctuary Advisors LLC increased its stake in shares of Super Micro Computer by 254.7% during the third quarter. Sanctuary Advisors LLC now owns 30,634 shares of the company’s stock valued at $12,756,000 after acquiring an additional 21,997 shares during the period. Fifth Third Bancorp raised its holdings in Super Micro Computer by 1,476.6% during the fourth quarter. Fifth Third Bancorp now owns 12,266 shares of the company’s stock worth $374,000 after purchasing an additional 11,488 shares in the last quarter. Finally, Oak Thistle LLC bought a new stake in Super Micro Computer during the fourth quarter worth approximately $277,000. 84.06% of the stock is currently owned by institutional investors and hedge funds.

Super Micro Computer Company Profile

Super Micro Computer, Inc, together with its subsidiaries, develops and manufactures high performance server and storage solutions based on modular and open architecture in the United States, Europe, Asia, and internationally. Its solutions range from complete server, storage systems, modular blade servers, blades, workstations, full racks, networking devices, server sub-systems, server management software, and security software.