Where Will Super Micro's Soaring Stock Be in 5 Years?
With shares up by over 700% in the past 12 months, Super Micro Computer (NASDAQ: SMCI) has been one of the biggest beneficiaries of the artificial intelligence (AI) boom, even outpacing giants including Nvidia, which rose 230% in the same period. While the company doesn't design and manufacture its AI chips, it helps turn these items into ready-to-use computers and servers for its data center customers.
But while Super Micro's business is booming, has its explosive rally put shares outside reach for value-conscious investors? Let's dig deeper to find out whether this stock is still a good long-term buy.
Historically, Super Micro has been a relatively cheap company. At the start of 2023, its shares were worth just under 10 times earnings, which was a dramatic discount to the S&P 500 average of around 27.
Source Fool.com
