Super Micro Computer
The 10-second takeaway
For the quarter ended Sep. 30 (Q1), Super Micro Computer met expectations on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue grew and GAAP earnings per share contracted significantly.
Margins shrank across the board.
Super Micro Computer booked revenue of $270.7 million. The four analysts polled by S&P Capital IQ foresaw revenue of $270.0 million on the same basis. GAAP reported sales were 9.2% higher than the prior-year quarter's $247.9 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.07. The six earnings estimates compiled by S&P Capital IQ forecast $0.11 per share. GAAP EPS of $0.02 for Q1 were 89% lower than the prior-year quarter's $0.19 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 12.9%, 310 basis points worse than the prior-year quarter. Operating margin was 0.6%, 490 basis points worse than the prior-year quarter. Net margin was 0.3%, 310 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $283.4 million. On the bottom line, the average EPS estimate is $0.18.
Next year's average estimate for revenue is $1.13 billion. The average EPS estimate is $0.72.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 200 members out of 218 rating the stock outperform, and 18 members rating it underperform. Among 52 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 48 give Super Micro Computer a green thumbs-up, and four give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Super Micro Computer is outperform, with an average price target of $16.58.
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