Bullish indicating open at $55-$60, IPO prices at $37
SAN JOSE - Supermicro, Inc. (NASDAQ:SMCI), a prominent player in the Technology Hardware industry with a market capitalization of $27.16 billion, announced on Monday the expansion of its NVIDIA Blackwell system portfolio with a new 4U DLC-2 liquid-cooled NVIDIA HGX B200 system and an 8U front I/O air-cooled system. According to InvestingPro data, the company has demonstrated impressive revenue growth of 46.59% over the last twelve months.
The new systems are designed for large-scale AI training and cloud-scale inference workloads, featuring front I/O access that simplifies cabling, improves thermal efficiency, and reduces operational expenses. With a strong financial health score rated as GREAT by InvestingPro and a robust current ratio of 5.32, Supermicro appears well-positioned to support this expansion.
According to Supermicro, the DLC-2 liquid cooling solution can provide up to 40% data center power savings compared to air cooling, while reducing water consumption by up to 40% through warm water cooling at inlet temperatures of up to 45°C.
The liquid-cooled system captures up to 98% of system heat by cooling CPUs, GPUs, memory modules, PCIe switches, voltage regulators, and power supplies.
Both new systems feature dual-socket Intel Xeon 6700 Series processors supporting up to 350W and NVIDIA HGX B200 8-GPU configuration with 180GB HBM3e per GPU. The systems include 32 DIMM slots supporting up to 8TB capacity and are equipped with 8 NVIDIA ConnectX-7 NICs and 2 NVIDIA Bluefield-3 DPUs, all accessible from the front of the system.
"Supermicro’s DLC-2 enabled NVIDIA HGX B200 system leads our portfolio to achieve greater power savings and faster time to online for AI Factory deployments," said Charles Liang, CEO and president of Supermicro, in the press release statement.
The company indicated that the new systems are also designed to support upcoming NVIDIA HGX B300 platforms, providing customers with a path for future upgrades.
The expanded portfolio now includes two front I/O systems and six rear I/O systems, allowing customers to choose configurations optimized for their specific cooling, networking, storage, and memory requirements.
In other recent news, Super Micro Computer reported disappointing fourth-quarter fiscal 2025 results, missing Wall Street’s revenue and profit estimates. The company attributed the shortfall to capital constraints and customer indecision, which also affected its ability to meet management targets. Despite these setbacks, Barclays raised its price target for Super Micro Computer to $45, citing a positive growth outlook with upcoming large customer orders scheduled for recognition in the September and December quarters. Needham also increased its price target to $60, maintaining a Buy rating, even though the earnings fell short of expectations. Raymond James followed suit by raising its price target to $53, while keeping an Outperform rating, despite the company’s lower-than-expected earnings guidance for the first quarter of fiscal 2026. However, JPMorgan lowered its price target slightly to $45, maintaining a Neutral rating due to ongoing competitive pressures in the industry. These recent developments have also impacted other companies, with Dell Technologies and Hewlett Packard Enterprise seeing a drop in their stock prices following Super Micro’s results.
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