Super Micro Computer Stock Soars on Continued AI Boom and Bullish Outlook
• Super Micro Computer (SMCI) stock jumped 11.3% on Wednesday after Barclays raised its price target due to strong AI demand.
• The stock may have also benefited from a bullish Nvidia report predicting strong AI demand.
• SMCI stock has surged over 200% in 2023 and 872% in the past year due to impressive financial results.
• The company expects revenue to more than double this fiscal year thanks to booming demand for its AI servers.
• However, the stock now trades at a high valuation of 31-41x forward earnings, making it riskier after its incredible run.