Major U.S. equities indexes lost ground Tuesday, failing to maintain the momentum from two straight positive sessions. Trade-related uncertainties and concerns about economic growth persisted as the Federal Reserve kicked off its two-day policy meeting, with an interest-rate announcement set for Wednesday.
The technology sector in the United States has been the center of most of the attention and price action in the stock market. However, one stock in the semiconductor industry fell significantly behind its peers.
The S&P 500 entered correction territory last week. Here's how Super Micro stock held up.
Server systems builder Super Micro Computer (SMCI 7.91%) was a market darling a year ago. Is it time to turn away from this disgraced industry titan and seek more reliable investment avenues in the artificial intelligence (AI) market?
Strong RPO (an indicator of revenue backlog) growth in recent quarters gives me confidence in SMCI's ambitious $40 billion FY26 revenue outlook. Margin erosion concerns are starting to be reflected in stock expectations, which I view as a positive sign as some sources of bad news gets priced in. Valuations have moderated sharply, and the stock seems attractive given the high-growth potential ahead. SMCI vs SPX500 also looks primed for an alpha-generating move.
Price action is usually the raw opinion of the market on a particular stock or industry, which is why investors should always be aware of what is happening behind the scenes when it comes to risk-on and risk-off behavior throughout the market. Today, the technology sector, particularly semiconductor stocks, have become the poster child of the risk-on for the stock market.
Recently, Zacks.com users have been paying close attention to Super Micro (SMCI). This makes it worthwhile to examine what the stock has in store.
Alan Knuckman sees lots of upside potential in Supermicro (SMCI), as long as its stock can break through $45. He later highlights the bullish trends he sees in Colgate-Palmolive (CL) and Zoom Video (ZM).
This week has shown the stock's resilience—the shares have jumped in the past two sessions both with and without the support of broader tech rebound.
Super Micro Computer (SMCI 4.50%) stock is surging in Wednesday's trading thanks to multiple bullish catalysts. The company's share price was up 5.6% as of 3:30 p.m.
Super Micro Computer was a big winner in the first half of 2024. However, an August report from now-defunct short-selling activist group Hindenburg Research caused a significant crash in the price of Super Micro stock (NASDAQ: SMCI).
The artificial-intelligence server maker is the S&P 500's second-best performer in 2025 despite an apparent unwinding of the AI trade.