Why Super Micro Computer Inc. (SMCI) Went Up On Friday?

We recently published a list of 10 Stocks Lead Friday’s Charge. In this article, we are going to take a look at where Super Micro Computer Inc. (NASDAQ:SMCI) stands against other stocks that lead Friday’s charge.

The stock market finished in the green territory on Friday, albeit muted trading persisted over the lack of catalysts to fuel investing appetite.

The tech-heavy Nasdaq led gains among Wall Street’s benchmark indices, finishing up by 0.52 percent. Meanwhile, both the Dow Jones and S&P 500 ended the week eking out 0.08-percent gains.

Ten companies mirrored the broader market optimism, finishing the week with modest gains. In this article, we have identified today’s top performers and detailed the reasons behind their gains.

To come up with the list, we considered only the stocks with $2 billion in market capitalization and $5 million in trading volume.

A team of technicians in a server room, testing and managing the newest server solutions.

Super Micro Computer Inc. (NASDAQ:SMCI)

Super Micro rallied by 7.80 percent on Friday to close at $42.15 each as investor sentiment was fueled by the company’s announcement of a new optimized storage server for high-performance software-defined storage workloads.

According to SMCI, it closely partnered with Nvidia Corp. (NASDAQ:NVDA) and Weka to develop the project which it expects will “allow customers to benefit from NVDA’s innovations in both CPUs and DPUs.”

The server uses an NVIDIA Grace CPU Superchip with 144 Arm Neoverse V2 cores which enable high-performance I/O for software-defined storage workloads.

“We have demonstrated that the system can fully unleash the system’s PCIe Gen5 performance SSD bandwidth with linear scalability. Supermicro continues to bring to market the most advanced and optimized storage solutions available,” SMCI said.

Overall, SMCI ranks 2nd on our list of stocks that lead Friday’s charge. While we acknowledge the potential of SMCI as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is as promising as SMCI but trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.