Data center specialist Super Micro Computer (SMCI), better known as Supermicro, late Monday easily beat expectations for its fiscal second quarter. It also raised its sales guidance for the full year. SMCI stock rose in extended trading.
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The San Jose, Calif.-based company earned an adjusted $5.59 a share on sales of $3.66 billion in the quarter ended Dec. 31. Analysts polled by FactSet had expected Supermicro earnings of $5.05 a share on sales of $2.8 billion. In the year-earlier period, Supermicro earned an adjusted $3.26 a share on sales of $1.8 billion.
Supermicro preannounced better-than-expected results for the December quarter on Jan. 18. The news sent SMCI stock soaring 35.9% in the next trading session. SMCI stock hit a regular-session all-time high of 496.78 on Jan. 24.
In after-hours trading on the stock market today, SMCI stock jumped 6.3% to 526.80. During the regular session Monday, SMCI stock advanced 4.5% to close at 495.67.
Supermicro sales have gotten a lift from major cloud service providers investing in systems for generative artificial intelligence. The computer systems maker works closely with AI chip providers including Advanced Micro Devices (AMD), Intel (INTC) and Nvidia (NVDA).
Earnings report details to follow.
SMCI stock is on the IBD 50 and Tech Leaders stock lists.
Follow Patrick Seitz on X, formerly Twitter, at @IBD_PSeitz for more stories on consumer technology, software and semiconductor stocks.
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Jessica Roberts is a seasoned business writer who deciphers the intricacies of the corporate world. With a focus on finance and entrepreneurship, she provides readers with valuable insights into market trends, startup innovations, and economic developments.
