Super Micro - A More Reasonably Valued AI Hardware Alternative to Nvidia
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Nvidia has been a top AI stock, but trades at a premium valuation. Super Micro Computer provides AI hardware and trades at a lower valuation.
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Super Micro builds customized servers incorporating Nvidia GPUs for companies lacking the expertise. It collaborates closely with Nvidia.
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Super Micro's revenue and profits are growing slower than Nvidia's. But 50-61% YoY growth is projected next quarter.
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Super Micro trades at a reasonable 26x current and 16x forward earnings. Nvidia's valuation is much higher.
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With potential for strong growth and a reasonable valuation, Super Micro could be a better AI investment than Nvidia.