Super Micro shares surge on preliminary quarterly earnings update
SMCI•Preliminary fourth-quarter update lifts shares
Super Micro Computer's SMCI.O shares jumped 15% to $29.34 in extended trading after the AI server maker said in a preliminary fourth-quarter earnings update that it expects adjusted gross margin in the range of 15% to 17%, nearly double the 8.2% to 8.4% range it had previously forecast.
The company said it was helped by a "favorable customer and product mix."
Backlog tops $60 billion as revenue outlook stays muted
SMCI also logged a record order backlog in excess of $60 billion, but projected fourth-quarter revenue at the lower end of its $11 billion to $12.5 billion expectation.
Analysts tracking the stock rate it "hold" on average; the median price target is $39, according to data compiled by LSEG. SMCI is down about 13% so far this year.
