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Super Micro shares surge after announcing $60B+ fourth-quarter orders
The company raised its fourth-quarter gross margin outlook to 15% to 17% versus earlier guidance of 8.2% to 8.4%, while keeping revenue guidance near the lower end of $11 billion to $12.5 billion.
Super Micro Computer shares jumped 25% in Wednesday trading to around $32 after the company said it secured more than $60 billion in new orders during the fourth quarter, extending a recovery from its March low.
According to LiveMint Markets, Super Micro expects gross margins of 15% to 17% for the quarter ended June 30, substantially above its prior guidance of 8.2% to 8.4%. The company signaled that stronger profitability reflects progress in selling higher-margin products and improving overall performance.
The company also said its order backlog reached a record level at the end of fiscal 2026, pointing to robust demand for its AI infrastructure offerings. It guided quarterly revenue to come in near the lower end of its previously stated range of $11 billion to $12.5 billion, while noting the newly secured orders are expected to be delivered over coming quarters.
Super Micro is scheduled to report full quarterly results on August 11. LiveMint Markets also noted that the company has been working on cost efficiencies and supply chain strength to compete in the AI server market, and in June it announced plans to raise $7 billion via equity and equity-linked financing to support execution of about $39 billion worth of AI server orders.