ewsba.se
Super Micro Computer (NASDAQ:SMCI) jumped more than 19% in premarket trading on Wednesday after the server maker issued a fourth-quarter revenue forecast that exceeded Wall Street expectations, supported by continued strong demand for AI-focused data center infrastructure.
By 04:12 ET, shares in the company had rallied sharply following the release of its latest quarterly results and outlook.
Super Micro said it expects fourth-quarter fiscal 2026 net sales between $11.0 billion and $12.5 billion for the period ending June 30, 2026.
That outlook came in ahead of analyst consensus estimates of $11.312 billion.
The company has been rapidly expanding its data center offerings to capitalize on accelerating demand linked to artificial intelligence infrastructure.
Last month, Super Micro announced an expansion of its Data Center Building Block Solutions portfolio with new ARM-based server systems and additional Open Compute Project platforms.
The company introduced servers powered by ARM’s AGI CPU technology alongside new rack-scale systems compliant with OCP ORv3 standards.
For the reported third quarter, Super Micro posted net sales of $10.2 billion, more than double the $4.6 billion reported during the same period last year.
However, the result fell below Wall Street forecasts of $12.39 billion, highlighting ongoing supply-chain limitations and intense competition in the market for AI-optimized servers.
“Supermicro’s transformation into a total datacenter infrastructure provider is accelerating,” said Charles Liang, founder, president and chief executive officer of the company.
“Our margin recovery and the rapid growth of our DCBBS business demonstrate that our business remains robust. With the addition of our new US manufacturing facilities in Silicon Valley, we are exceptionally well-positioned to meet the massive demand for various AI and enterprise verticals.”
The company reported adjusted earnings per share of $0.84, exceeding analyst expectations by $0.22.
The earnings beat was largely driven by stronger gross margins, which came in more than 300 basis points above company guidance of 6.65%.
Analyst Simon Leopold of Raymond James maintained an Outperform rating on the stock, describing the quarter as a “mixed F3Q26 report that reflected a revenue miss, but a sharp improvement in gross margin.”
The firm also increased its price target on SMCI shares to $45 from $35.
Leopold additionally addressed recent legal developments involving two former employees who were indicted over alleged export control violations.
“Management reiterated that the company has not been charged with any wrongdoing, and has not observed any changes in customer or supply dynamics; this is a relief, but we imagine this will be a key point of concern for investors as it adds to reputational risk,” Leopold wrote.