Why Super Micro Computer (SMCI) Soared Last Week?

We recently published a list of 10 Firms That Soared Last Week. In this article, we are going to take a look at where Super Micro Computer, Inc. (NASDAQ:SMCI) stands against other firms that soared last week.

Last week saw volatile trading in the stock market as investors scrambled to react from a series of positive and negative catalysts which sparked buying and selling positions across the board.

On Friday alone, Wall Street’s major indices fell into the red territory over renewed fears of growing trade tensions from some of the world’s largest economies, coupled with expectations of a higher inflation rate.

However, 10 firms defied a broader market slump, posting impressive gains in just a week’s trading.

To come up with last week’s biggest advancers, we considered only the stocks with at least $2 billion in market capitalization and $5 million in daily trading volume.

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Super Micro Computer, Inc. (NASDAQ:SMCI)

Super Micro Computer, Inc. (NASDAQ:SMCI)’s share prices jumped by 27.2 percent in just one week, buoyed by a flurry of positive news that sparked buying appetite.

Last week alone, Super Micro Computer (NASDAQ:SMCI) announced it was ramping up to full production of its end-to-end AI data center Building Block Solutions accelerated by the Nvidia Blackwell platform.

Secondly, the company is set to provide a long-awaited business update on Tuesday, February 11, where investors will be watching out for the company’s delayed annual report for the 12 months ending June 2024, and whether it will be able to submit all delayed filings by February 25, the final deadline for all delayed filings, which is a key factor to keeping its position as a publicly listed company.

It can be learned that Super Micro Computer (NASDAQ:SMCI) was temporarily delisted from Nasdaq in 2018 after failing to submit financial statements on time. It returned two years later, and was again penalized by the SEC for “widespread accounting violations.”

Overall, SMCI ranks 8th on our list of firms that soared last week. 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 that 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.