20 AI News and Analyst Ratings You Should Not Miss

6. Super Micro Computer, Inc. (NASDAQ:SMCI)

Number of Hedge Fund Holders: 47 

Super Micro Computer, Inc. (NASDAQ:SMCI) develops and manufactures high performance server and storage solutions based on modular and open architecture. The company recently announced that it had received a notification letter from Nasdaq stating that it was not in compliance with Nasdaq listing rule 5250(c)(1), which required timely filing of reports with the US SEC. The letter, dated September 17, was sent as Supermicro had announced a delay in filing an annual 10K report that was due at the end of August. The delay has resulted in a significant drop in the share price of the stock.

Needham recently initiated coverage of Super Micro Computer, Inc. (NASDAQ:SMCI) stock with a Buy rating and $600 price target. In a research note, the advisory recognized Supermicro as a first mover in the design of GPU-based compute systems and liquid cooled rack level solutions and a significant beneficiary from growing investment in AI infrastructure, forecasting a compound annual revenue growth rate in excess of 55% from FY21 to FY26 for the company. However, the note detailed that the advisory had modeled a gross margin recovery for Supermicro that was more conservative than management’s forecast.