This valuation makes zero sense to me.
Forget the noise and look at the numbers. Q4 revenue came in at $11.1B, up roughly 91% YoY. Net income was $1.18B versus $195M a year ago. Non-GAAP gross margin expanded to 17.6% from 9.6% YoY. Q1 FY27 revenue guidance is $14.5B–$15.5B, and full-year FY27 guidance sits at $65B–$72B. Management also reported more than $60B of new orders during Q4.
This is a company sitting directly in the middle of the AI infrastructure supercycle, with servers, rack-scale systems and liquid cooling.
The market can play games with the price in the short term, but eventually earnings, revenue and cash flow have to matter.
At $65B–$72B in projected FY27 revenue, $SUPER MICRO COMPUTER INC(SMCI)$ is being valued like the AI boom is ending while the underlying business is telling the exact opposite story.
I'm extremely bullish here. I'm watching the fundamentals, not the fear.
$NVIDIA(NVDA)$ $Advanced Micro Devices(AMD)$ $Dell Technologies Inc.(DELL)$ $Hewlett Packard Enterprise(HPE)$
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