- Super Micro Computer (SMCI, Financial) raises $2 billion through convertible senior notes to fund strategic initiatives.
- Analysts provide a mixed outlook with an average price target implying a slight downside.
- GuruFocus estimates suggest significant long-term upside potential.
Super Micro Computer (SMCI) has effectively raised $2 billion by issuing convertible senior notes, set to mature in 2030. With the net proceeds of approximately $1.96 billion, the company plans to engage in capped call transactions, repurchase shares, and fund general corporate purposes. Following this announcement, SMCI's stock experienced a 3.5% rise in aftermarket trading.
Wall Street Analysts Forecast
According to insights from 14 analysts, the average price target for Super Micro Computer Inc (SMCI, Financial) over the next year stands at $40.21. This includes a high estimate of $70.00 and a low of $15.00, indicating an average downside of 1.66% from the current stock price of $40.89. For more exhaustive estimate data, visit the Super Micro Computer Inc (SMCI) Forecast page.
When considering the consensus recommendation from 18 brokerage firms, SMCI currently holds an average brokerage recommendation of 2.7, suggesting a "Hold" status. This rating system ranges from 1, representing a Strong Buy, to 5, indicating a Sell.
GuruFocus Estimates and GF Value
With regard to GuruFocus estimates, the projected GF Value for SMCI in one year is anticipated to be $68.35. This reflects a potential upside of 67.16% compared to the present stock price of $40.89. GF Value represents GuruFocus' assessment of the stock's fair market value, derived from historical trade multiples, past business growth patterns, and projected business performance. Further details are available on the Super Micro Computer Inc (SMCI, Financial) Summary page.
