Is Super Micro Computer (SMCI) Stock a Buy Before August 11 Earnings?

TLDR

• SMCI dropped 3.1% to $29.38 on Thursday, pulled down by broad selling in AI and semiconductor stocks
• Elon Musk’s comments that his companies would use Nvidia chips exclusively added pressure across AI hardware names
• SMCI reported a backlog of over $60 billion, with gross margin guidance raised to 15%-17%
• Q4 earnings are due August 11; Wall Street expects EPS of $0.92, up 124% year-over-year, on revenue of $11.60 billion
• Analyst consensus is “Hold” with an average price target of $38.40, implying roughly 31% upside from current levels

Super Micro Computer stock fell 3.1% on Thursday, closing at $29.38, pulled down by a wave of selling across AI and semiconductor names.

Super Micro Computer, Inc., SMCI

The drop came after Elon Musk said his companies would use Nvidia chips exclusively. That comment sent a ripple through the broader AI hardware group, hurting stocks that compete with or sit alongside Nvidia in the data center supply chain.

Trading volume came in at around 26.4 million, down about 40% from the average daily volume of 43.6 million. The stock had closed at $30.32 the session before.

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