Super Micro Computer (NASDAQ:SMCI) Shares Gap Down After Insider Selling

Super Micro Computer, Inc. (NASDAQ:SMCI) gapped down before the market opened on Monday after an insider sold shares in the company. The stock had previously closed at $45.32, but opened at $43.47. Super Micro Computer shares last traded at $43.11, with a volume of 11,823,078 shares traded.

Specifically, Director Liang Chiu-Chu Sara Liu sold 300,000 shares of the company’s stock in a transaction that occurred on Wednesday, June 18th. The stock was sold at an average price of $45.00, for a total value of $13,500,000.00. Following the transaction, the director now directly owns 66,903,640 shares of the company’s stock, valued at approximately $3,010,663,800. This represents a 0.45% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, CEO Charles Liang sold 300,000 shares of the stock in a transaction on Wednesday, June 18th. The shares were sold at an average price of $45.00, for a total value of $13,500,000.00. Following the transaction, the chief executive officer now directly owns 66,903,640 shares in the company, valued at $3,010,663,800. The trade was a 0.45% decrease in their ownership of the stock. The disclosure for this sale can be found here.

Analysts Set New Price Targets

Several equities analysts have recently weighed in on the company. KGI Securities began coverage on Super Micro Computer in a report on Wednesday, May 7th. They set a “neutral” rating on the stock. Mizuho set a $40.00 price target on shares of Super Micro Computer and gave the company a “neutral” rating in a report on Monday, May 19th. Needham & Company LLC reissued a “buy” rating and issued a $39.00 price objective on shares of Super Micro Computer in a research note on Wednesday, May 7th. Northland Securities set a $59.00 price target on shares of Super Micro Computer in a research note on Wednesday, May 7th. Finally, Citigroup initiated coverage on shares of Super Micro Computer in a research note on Tuesday, May 6th. They set a “neutral” rating and a $39.00 price target for the company. Three research analysts have rated the stock with a sell rating, eleven have issued a hold rating, five have issued a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Hold” and a consensus price target of $45.63.

Super Micro Computer Stock Up 4.8%

The company has a market capitalization of $25.57 billion, a price-to-earnings ratio of 22.54 and a beta of 1.40. The business’s 50-day moving average is $38.92 and its 200-day moving average is $37.41. The company has a quick ratio of 3.95, a current ratio of 6.66 and a debt-to-equity ratio of 0.38.

Super Micro Computer (NASDAQ:SMCI) last issued its quarterly earnings data on Tuesday, May 6th. The company reported $0.31 earnings per share for the quarter, topping analysts’ consensus estimates of $0.30 by $0.01. The business had revenue of $4.60 billion during the quarter, compared to the consensus estimate of $5.40 billion. Super Micro Computer had a net margin of 5.61% and a return on equity of 20.41%. The company’s revenue was up 19.5% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.66 earnings per share. As a group, equities analysts predict that Super Micro Computer, Inc. will post 1.86 earnings per share for the current year.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. Eastern Bank purchased a new stake in shares of Super Micro Computer during the first quarter worth about $29,000. Parkside Financial Bank & Trust increased its stake in shares of Super Micro Computer by 2,890.9% during the fourth quarter. Parkside Financial Bank & Trust now owns 987 shares of the company’s stock worth $30,000 after purchasing an additional 954 shares in the last quarter. Larson Financial Group LLC increased its stake in shares of Super Micro Computer by 902.0% during the fourth quarter. Larson Financial Group LLC now owns 992 shares of the company’s stock worth $30,000 after purchasing an additional 893 shares in the last quarter. AlphaQuest LLC increased its stake in shares of Super Micro Computer by 233.0% during the fourth quarter. AlphaQuest LLC now owns 1,089 shares of the company’s stock worth $33,000 after purchasing an additional 762 shares in the last quarter. Finally, Bernard Wealth Management Corp. purchased a new stake in shares of Super Micro Computer during the fourth quarter worth about $33,000. Institutional investors and hedge funds own 84.06% of the company’s stock.

About Super Micro Computer

Super Micro Computer, Inc, together with its subsidiaries, develops and manufactures high performance server and storage solutions based on modular and open architecture in the United States, Europe, Asia, and internationally. Its solutions range from complete server, storage systems, modular blade servers, blades, workstations, full racks, networking devices, server sub-systems, server management software, and security software.