Analysts adjust price targets for SMCI stock
Super Micro Computer, traded on NASDAQ as SMCI, grabbed headlines for weeks at the beginning of 2024 with one of the most remarkable non-meme stock surges in recent memory. With an initial value of $285 at the start of the year, SMCI soared to over $1,000 and reached close to $1,200 by mid-March.
However, the excitement has since waned, and Supermicro shares underwent a significant correction, bringing the price down to $774.68 today, well below its peak for the year.
Despite this downturn, SMCI remains one of the top performers in the S&P 500 index, showing a strong 172.52% increase year-to-date. The company made headlines once again by introducing new cooling technology, sparking a mixed reaction in the market and leading to new analyst ratings.
In June 2024, several prominent analysts, including Barclays, revised their ratings and price targets for SMCI. Barclays remains optimistic, rating the company a ‘buy’ and predicting a price target of $1,000 within the next year. Northland Securities also maintains a ‘buy’ rating but sets a higher price target of $1,300.
On the other hand, Wells Fargo took a more cautious approach, reiterating its ‘equal weight’ rating and lowering the price target to $890. Despite these varying opinions, overall sentiment towards Super Micro Computer remains positive, with a ‘moderate buy’ rating on TipRanks, with 5 out of 9 experts recommending a ‘buy.’
Looking ahead, price targets for SMCI suggest a potential 37.06% increase to $1,066 from the current price. The highest estimate anticipates SMCI reaching $1,500 in a year, while the lowest suggests a drop to $800 is more likely in the upcoming trading sessions.
In conclusion, while the recent correction may have dampened some of the excitement surrounding SMCI, the overall outlook for Super Micro Computer remains optimistic among analysts and investors.
