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Super Micro Computer (NASDAQ:SMCI) stock is adding to its strong weekly gains Friday following its earnings report earlier this week, which included bullish FY2026 revenue guidance.
SMCI’s stock is up 10% today, 28% for the week, and 62% for the month so far.
On Tuesday, the AI server maker reported that its second quarter's preliminary results were below the Street and provided fiscal year 2025 guidance, which was also disappointing. However, the company’s fiscal year 2026 revenue guidance was uber-bullish, to say the least.
Because of the timing of the company’s fiscal year, the 2026 revenue guidance covers the period from July 2025 to June 2026. For that period, the company sees revenue of $40 billion, up as much as 70% from its fiscal year 2025. This was well ahead of what analysts expected. Further, SMCI CEO Charles Liang thinks this revenue guidance may prove “conservative.”
The strong guidance comes as SMCI starts the NVIDIA (NASDAQ:NVDA) Blackwell ramp.
In addition to the bullish guidance, the company successfully priced an offering of $700 million in convertible senior notes. The capital raise helps put to bed questions about the company’s cash flow situation to fund the Blackwell ramp.
SMCI stock is not for the faint of heart. The company has been embroiled in short-seller allegations of corporate malfeasance, its prior auditor resigned due to concerns about the company’s governance, and the company’s financial statements are not up-to-date.