Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of Super Micro Computer (SMCI 4.33%) have popped today by as much as 16% after the company reported strong earnings.
So what: Revenue in the quarter totaled $291.5 million, which resulted in net income of $4.9 million, or $0.11 per share. While the bottom line was shy of the $0.14 per share expectation, the top line was well above the $280 million consensus. On top of that, the company issued strong guidance for the next quarter.
Now what: CEO Charles Liang said the company's rackmount servers and storage products were the big sellers this quarter. Next quarter should see sales in the range of $275 million to $295 million, which should translate into adjusted earnings per share of $0.17 to $0.21. Both of those forecasts top the $270 million in sales and $0.15 per share profit that analysts were expecting.
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