Super Micro Computer (SMCI)- Rating this a Strong Buy at <=$60/sh
Summary: I opened an initial position with SMCI as of Thursday, Feb 20, 2025, ahead of its FY2024 10-K and FY2025 10-Q filing deadline on Feb 25, 2025 . I rate the stock a strong buy at <=$60/share . No accounting discrepancies or evidence of fraud have been found since the late accounting reports, which is a positive, making this purchase a potentially high risk/high reward investment. SMCI appears at a much better valuation compared to one year ago when its stock price was $120/share. It fell as low as $20 in Aug 2024 before beginning a volatile return back to the $50s. SMCI's direct cooling technology will be continuing to be adopted by major players in the AI spectrum. SMCI projects FY2025 will be somewhat muted, likely due to fallout over the late 10-K reports. However, the company projects that FY2026 will be a big year with $40 billion in revenue supported by their partnership with NVIDIA and its Blackwell products....