super micro computer amends equity plan and elects directors

Published 06/06/2025, 21:20
super micro computer amends equity plan and elects directors

Super Micro Computer, Inc. (NASDAQ:SMCI), a prominent player in the Technology Hardware industry with a market capitalization of $24.9 billion and an "GREAT" financial health score according to InvestingPro, held its Annual Meeting of Stockholders on Wednesday, where several key proposals were approved. The meeting, which took place on June 4, 2025, saw stockholders approve the amendment and restatement of the company’s 2020 Equity and Incentive Compensation Plan. This plan allows the company’s Compensation Committee to issue cash awards and equity-based compensation, including stock options and performance shares, to directors, officers, employees, and certain consultants. The company’s strong financial position, with a current ratio of 6.66 indicating ample liquidity to meet short-term obligations, supports its ability to maintain competitive compensation packages.

The amended plan increases the total number of shares available for awards to 103 million, which includes 18 million newly approved shares. Additionally, the amendment updates the plan’s whistleblower protection language to align with recent regulatory changes. No grants will be made under the plan after June 4, 2035.

During the meeting, stockholders also elected two Class III directors, Robert Blair and Susan Mogensen (also known as Susie Giordano), to serve until the annual meeting following the fiscal year 2027. Blair received 246,220,951 votes in favor, while Mogensen received 265,783,514 votes.

Another proposal approved was a non-binding advisory resolution on the compensation of the company’s named executive officers, with 253,339,433 votes in favor. Additionally, the appointment of BDO USA, P.C. as the independent registered public accounting firm for the fiscal year ending June 30, 2025, was ratified with 423,162,655 votes in favor.

These decisions were based on a press release statement from the company, highlighting the outcomes of the annual meeting and the approved changes to the equity plan. With a year-to-date return of 33.76% and current analysis suggesting the stock is undervalued based on InvestingPro’s Fair Value model, investors seeking deeper insights can access comprehensive analysis and 13 additional ProTips through the platform’s detailed research reports.

In other recent news, Super Micro Computer has announced plans to expand its production capacity in the U.S. to meet the increasing global demand for artificial intelligence (AI) technologies. The company is considering new manufacturing sites in Mississippi and Texas due to rising costs in Silicon Valley. In a strategic move, Super Micro has partnered with DataVolt to build hyperscale AI campuses in Saudi Arabia, aiming to deliver advanced computing power with sustainable technology. This collaboration is expected to enhance the deployment of AI infrastructure and reduce operational costs. Mizuho (NYSE:MFG) Securities has raised its price target for Super Micro to $40, citing the company’s strong position in the AI server market and potential growth from its DataVolt partnership. Meanwhile, Loop Capital maintains a Buy rating with a $70 price target, highlighting a significant $20 billion deal with DataVolt and Neocloud, which could reflect in financials by late 2025. Super Micro also introduced its Data Center Building Block Solutions (DCBBS), designed to streamline the construction of liquid-cooled AI data centers, emphasizing cost reduction and efficiency. These developments showcase Super Micro’s strategic initiatives and partnerships aimed at capturing growth in the AI and data center sectors.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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