Should You Load Up on Super Micro Computer Stock While It's Down 60% From Its All-Time High?
Super Micro Computer (NASDAQ: SMCI) was one of this year's best-performing stocks, even outpacing Nvidia. However, it has fallen on hard times after a poorly received earnings report and a short-seller announcement. The stock now sits more than 60% off its all-time highs after combining these two factors and a general sell-off due to extreme valuation.
With the stock now at this low point, many investors (including myself) may wonder whether shares might be a steal at these levels. Let's take a look, as there is a lot to be excited and concerned about.
Super Micro Computer (often called Supermicro) provides components necessary for building large-scale data centers and servers. Because of the high demand for extreme computing power to train artificial intelligence (AI) models, Supermicro is seeing a demand spike similar to that of Nvidia for its products.
Source Fool.com
