Super Micro Computer (NASDAQ:SMCI), a modular server and storage solutions provider, closed Thursday at $32.16, up 8.25%. The stock moved higher after analyst upgrades, institutional buying disclosures, and reports of a potential “Make in India” AI server expansion. Investors will be watching how these initiatives sustain AI-driven growth.
The company’s trading volume reached 42.1 million shares, which is roughly 47% above compared with its three-month average of 28.6 million shares. Super Micro Computer went public in 2007 and has grown 3572% since going its IPO.
How the markets moved today
S&P 500 (SNPINDEX: ^GSPC) slipped 0.28% to 6,861.89, while the Nasdaq Composite (NASDAQINDEX: ^IXIC) fell 0.31% to 22,683. Among computer hardware peers, Hewlett Packard Enterprise (NYSE:HPE) closed at $21.39 (-0.74%) and Dell Technologies (NYSE:DELL) finished at $119.06 (+1.95%), reflecting mixed sentiment across server and PC vendors.
What this means for investors
Record AI-driven revenue fueled Super Micro Computer’s rally. Earlier this month, the company reported $12.68 billion in quarterly net sales and $400.56 million in net income, with over 90% of revenue from AI platforms. The company also raised its full-year guidance to at least $40 billion. These results indicate that demand for AI servers remains strong and scalable.
A Seeking Alpha analyst upgraded the stock to “strong buy,” citing potential margin expansion from the Data Center Building Block Solutions platform. This upgrade shifted the focus from revenue growth to operating leverage, thus providing investors with a clearer path to sustained profitability. Investors will continue to monitor whether AI server demand and margin expansion can support the company’s higher revenue outlook in the coming quarters.
Should you buy stock in Super Micro Computer right now?
Before you buy stock in Super Micro Computer, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Super Micro Computer wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004… if you invested $1,000 at the time of our recommendation, you’d have $420,595!* Or when Nvidia made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation, you’d have $1,152,356!*
Now, it’s worth noting Stock Advisor’s total average return is 899% — a market-crushing outperformance compared to 194% for the S&P 500. Don’t miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of February 19, 2026.
Eric Trie has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Hewlett Packard Enterprise. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
