Super Micro Computer Shares Drop as Goldman Sachs Initiates Sell Rating
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 13 2026
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Source: Benzinga
- Analyst Downgrade: Goldman Sachs has downgraded Super Micro Computer to a Sell rating with a price target of $26, reflecting a pessimistic outlook that may further erode investor confidence in the stock.
- Challenging Market Environment: Both the Nasdaq and S&P 500 indices have declined, with Super Micro's shares down 8.75% over the past year, currently trading at $28.40, significantly below the 52-week high of $66.44, indicating overall pressure on tech stocks.
- Technical Indicators Show Weakness: The stock is trading 7.1% below its 20-day simple moving average and 31.4% below its 100-day moving average, suggesting a bearish trend in the short term, prompting investors to exercise caution.
- Future Earnings Expectations: Super Micro is expected to report earnings of $0.45 per share on February 10, down from last year, although revenue is projected at $10.38 billion, indicating growth potential, yet analysts remain cautious about future expectations.
Analyst Views on SMCI
Wall Street analysts forecast SMCI stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for SMCI is 46.82 USD with a low forecast of 34.00 USD and a high forecast of 63.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
12 Analyst Rating
5 Buy
5 Hold
2 Sell
Hold
Current: 32.240
Low
34.00
Averages
46.82
High
63.00
Current: 32.240
Low
34.00
Averages
46.82
High
63.00
About SMCI
Super Micro Computer, Inc. provides application-optimized Total IT solutions. It delivers rack-scale solutions optimized for various workloads, including artificial intelligence and high-performance computing, where acceleration is critical. It produces a portfolio of server and storage solutions for enterprise data centers, cloud service providers and edge computing (5G Telco, Retail and embedded). Total IT Solutions include complete servers, storage systems, modular blade servers, workstations, full-rack scale solutions, networking devices, server sub-systems, server management and security software. It provides global support and services to help its customers install, upgrade and maintain their computing infrastructure, including liquid-cooling operations. It offers platforms in rackmount, blade, multi-node and embedded form factors, which support single, dual and multiprocessor architectures. Its key product lines include SuperBlade and MicroBlade, SuperStorage, Twin and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
