Super Micro Computer, Inc. (SMCI)
Super Micro Computer builds the high-performance server hardware that powers the massive data centres behind modern artificial intelligence.
Is Super Micro Computer, Inc. a good stock for a UK beginner?
The honest version: There's no rating here and nothing for sale. In its favour: Exceptional recent revenue and earnings growth. Worth weighing: Very thin profit margins leave little room for error.
Is this normal for this company?
Each figure against the range this same company has produced recently. Neither end of a range is the good end.
Share price divided by the earnings actually reported over the four most recent quarters. The range is the same calculation at each of this company's last few results, so roughly the past year.
Profit as a share of sales, from the company's own quarterly statements. The range covers the 5 quarters we hold, and the figure shown is its most recent one.
How these ranges are built
Every number here is the company's own reported figure, not a comparison with other companies. The ranges come from this company's own results and its share price. Where it reports in a different currency from the one its shares trade in, the price-to-earnings range is left out rather than mixing the two.
What does Super Micro Computer, Inc. do?
Think of Super Micro as a specialist builder of the heavy-duty computer racks that act as the engine room for AI technology. The bulk of sales comes from custom-built servers and storage systems bought by large companies that need serious computing power. The tightrope to watch is how they manage their thin profit margins while keeping up with the explosive demand for their hardware.
On our factor screen it looks strongest on growth and value, and weakest on income.
- !Pays no dividend - the whole return rides on the share price
- ✓Growing - revenue up about 123% over the year
- ✓Strong return on shareholder money (ROE 18%)
- Value screens high
- Growth screens high
- Quality screens low
- Momentum screens low
- Income screens low
Does Super Micro Computer, Inc. pay a dividend?
No - Super Micro Computer, Inc. doesn't currently pay a dividend, so the whole return would rest on the share price. Plenty of growing companies reinvest their profits instead of paying them out - neither approach is better or worse, they're just different.
Does Super Micro Computer, Inc. have more cash or more debt?
It holds about $1.31B in cash against about $9.15B of debt - so it has net debt of about $7.85B. Debt is not automatically a problem - it funds growth - but it has to be serviced and repaid, which matters more when profits wobble.
From the latest reported balance sheet. Cash and debt levels change, and some borrowing is normal - this is context, not a judgment.
What do Super Micro Computer, Inc.'s numbers mean?
How has it performed?
Growth of £1,000, the worst fall, and year by year
Over about 2 years to 2026-09-11. This is the share price only; any dividends would add to it. And it's the USD return - as a UK investor your actual £ return also moves with the exchange rate. Past performance is not a guide to the future, and it could just as easily have fallen.
How much has Super Micro Computer, Inc. actually fallen?
Over the last 2 years of daily prices, Super Micro Computer, Inc. fell as much as −71% from a high to a later low. Falls like this are normal when you own a share.
Past falls are not a forecast - it can fall further, or recover.
How has it done year by year?
Calendar-year total return - the share price with dividends reinvested - from adjusted closing prices. The current year is only part-complete. Past returns are not a guide to the future.
A closer look at the numbers
Ownership, earnings history, where the money goes, and the outlook range
Does the share price tell you if it's cheap or expensive?
Who owns Super Micro Computer, Inc.?
About 67% of Super Micro Computer, Inc., or about 67 in every 100 shares, is held by big institutions such as pension and index funds, and company insiders hold about 13%. The rest, roughly 21%, is held by the public and smaller investors.
What this does and doesn't tell you
This is a recent snapshot of the share register, and it moves. We don't read anything into who owns what - a high institutional share is common for any large listed company and is not a signal about it.
Based on beta - how much the price swings versus the whole market. Bumpier isn't bad; it just means a rougher ride, which matters more the sooner you might need the money.
Prices move on results, news and the mood of the whole market - no single headline explains a day, and a quiet week is usually just noise, not a signal.
How much money does Super Micro Computer, Inc. make?
Revenue and profit by quarter, and how much of each sale turns into profit.
Where does each £100 of Super Micro Computer, Inc.'s sales go?
A rough split of the latest full-year figures: of every £100 of sales, about £92 covers making the product or service, £4 goes on running costs, tax and interest, and about £4 is left as profit. Margins vary a lot by industry, and one-off items can distort a single year.
When does Super Micro Computer, Inc. report earnings, and how did recent quarters go?
Super Micro Computer, Inc. is next scheduled to report on about 2026-11-03 - dates can move, and we don't predict results; this just tells you when to look.
‘Beat’ and ‘missed’ are against what analysts expected, not whether the business is doing well.
| Reported | Expected EPS: The earnings per share analysts expected for the quarter - the average of their forecasts. 'Beating' or 'missing' is measured against this number. | Actual EPS | vs expected |
|---|---|---|---|
| 2026-08-11 | $0.96 | $1.70 | Beat +78% |
| 2026-05-05 | $0.62 | $0.84 | Beat +35% |
| 2026-02-03 | $0.49 | $0.69 | Beat +41% |
| 2025-11-04 | $0.39 | $0.35 | Missed -10% |
| 2025-08-05 | $0.44 | $0.41 | Missed -7% |
| 2025-05-06 | $0.30 | $0.31 | Beat +4% |
Across the last 6 quarters here, Super Micro Computer, Inc. came in ahead of what analysts expected 4 times. One quarter is noise, not a trend.
See who else reports over the next two weeks →
Where these figures come from
Each quarter a company reports its results against a consensus of analyst forecasts. The figures here are reported versus expected earnings per share from published results; the expectation is that analyst consensus, not our view. Report dates are estimates and can move.
What are the scenarios for Super Micro Computer, Inc.?
An illustrative range for the year ahead — not a prediction or a price target.
What are the pros, cons and common questions?
The case each way, and the questions people ask
Dominance in the AI server market
Technological obsolescence
What are the pros and cons of Super Micro Computer, Inc.?
A balance check, not a score or verdict.
- Exceptional recent revenue and earnings growth
- Strong position in the high-growth AI sector
- Solid return on equity: How much profit the company makes for each £1 shareholders have put in. Higher usually means a more efficient business. for shareholders
- Very thin profit margins leave little room for error
- High share price volatility compared to the market
- No dividend payments for income-focused investors
- Intense competition from larger technology hardware firms
- Heavy reliance on a few key component suppliers
- Potential for rapid changes in AI hardware requirements
The write-up's own warning lights — if these start happening, the case above changes.
- A sustained drop in revenue growth rates
- Significant and permanent decline in profit margins
Common questions about Super Micro Computer, Inc.
Does Super Micro Computer, Inc. pay a dividend?
No - Super Micro Computer, Inc. does not currently pay a dividend, so the return would rest on the share price. Many growing companies reinvest profits instead of paying them out.
When does Super Micro Computer, Inc. report earnings next?
Super Micro Computer, Inc. is next scheduled to report results on about 2026-11-03. Report dates are estimates and can move; this is a diary note for when to look, not a forecast of the outcome.
More in Technology
Workday, Inc.
Flex Ltd.
Zebra Technologies Corporation
Leidos Holdings, Inc.
Teledyne Technologies Incorporated
Trimble Inc.
Motorola Solutions, Inc.
Block, Inc.Built from public filings & market prices, checked for an education-only tone, and never a price target. How we make these →
This plain-English summary was auto-generated on 2026-08-02 from public data and checked for an education-only, no-advice tone (the figures above carry their own, usually fresher, 'as of' date). It's information, never a recommendation.