Supermicro Soars into S&P 500 Amid Booming AI Server Market Growth
May 5, 2024![Supermicro Soars into S&P 500 Amid Booming AI Server Market Growth](https://cdn.brief.news/images/stories/7aeeb2e2980038120e59486c508b124371db12a7da8a4696ead1404f310e41653688cea3a98b5704feb2c05c7184943ea4bba702715bfadefb326789546d7357.png)
Super Micro Computer, known as Supermicro, has been added to the S&P 500, indicating its growth in the AI server sector.
The company's AI-focused accelerated computing platforms are expected to grow its market share from 10% in 2023 to 17% in 2026.
Despite a minor third-quarter setback, Supermicro's financials are strong, with record demand for its AI systems.
Analysts forecast a 49% annual increase in Supermicro's earnings per share over the next three to five years, suggesting a solid investment opportunity.
Supermicro's fiscal 2024 third-quarter revenue hit a record $3.85 billion, with a 308% jump in adjusted EPS.
Though not listed among Motley Fool Stock Advisor's top 10 stocks, Supermicro is poised to capitalize on the AI server market's anticipated 47% annual growth from 2023-2028.
Summary based on 4 sources