Jim Cramer spent the last week of August 2026 arguing with himself about Super Micro Computer (NASDAQ:SMCI | SMCI Price Prediction). On August 25, during his lightning round on Mad Money, a viewer asked about the AI server maker.
From a technical perspective, Super Micro Computer, Inc. (SMCI) is looking like an interesting pick, as it just reached a key level of support. SMCI's 50-day simple moving average crossed above its 200-day simple moving average, which is known as a "golden cross" in the trading world.
Digital, Sandisk and Super Micro Computer have been highlighted in this Industry Outlook article.
Momentum in cloud computing, IoT, auto and AI is expected to drive the prospects of Zacks Computer-Storage Devices industry players like SNDK, WDC and SMCI.
Super Micro Computer delivered a strong Q4 with revenue up 93% YoY and a dramatic margin rebound, but cash flow remains a major concern. Fiscal 2027 revenue guidance is highly bullish, targeting 66–84% growth, yet Q1 EPS guidance signals margin normalization and significant dilution. Despite robust growth and an order backlog, SMCI's persistent negative free cash flow and governance issues justify a buy rating, not a strong buy.
SMCI's bullish flag and inverse head-and-shoulders breakouts strengthen its recovery, with $51.40 key to confirming a reversal toward $55.30.
Investors interested in Computer- Storage Devices stocks are likely familiar with Super Micro Computer (SMCI) and NetApp (NTAP). But which of these two stocks presents investors with the better value opportunity right now?
Super Micro Computer (NASDAQ:SMCI | SMCI Price Prediction) just booked over $60 billion in new orders in a single quarter and guided fiscal 2027 revenue to $65 billion to $72 billion.
Supermicro secured over $60 billion in new orders, with roughly 70% tied directly to AI infrastructure demand. FY2027 revenue guidance of $65 billion to $72 billion materially exceeded the previous consensus of roughly $54.4 billion. Q4 gross margin surged to 17.6%, but management guides 10.4% to 10.8% as favorable mix benefits normalize.
Super Micro Computer's record backlog and AI demand set the stage for growth, with management expecting AI solutions to exceed 80% of revenues.
Super Micro Computer (SMCI) shares have started gaining and might continue moving higher in the near term, as indicated by solid earnings estimate revisions.
The server maker ended an investigation into an alleged scheme by two employees and a contractor to smuggle Nvidia chips to China.