Server solutions provider Super Micro (NASDAQ:SMCI) is expected to be announcing earnings results tomorrow afternoon. Here’s what you need to know.
Super Micro missed analysts’ revenue expectations by 3.5% last quarter, reporting revenues of $5.68 billion, up 54.9% year on year. It was a slower quarter for the company, with a significant miss of analysts’ operating income estimates.
Is Super Micro a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Super Micro’s revenue to grow 34.6% year on year to $5.18 billion, slowing from the 200% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.54 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Super Micro has missed Wall Street’s revenue estimates four times over the last two years.
With Super Micro being the first among its peers to report earnings this season, we don’t have anywhere else to look to get a hint at how this quarter will unravel for it services & other tech stocks. However, the whole sector has been hit hard over the last month as stocks in Super Micro’s peer group are down 10.1% on average. Super Micro is down 13.2% during the same time and is heading into earnings with an average analyst price target of $51.75 (compared to the current share price of $37.00).
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