Super Micro Computer Feels The Heat From Competitors, Customers, Supplies - This Analyst Turns Bearish
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Goldman Sachs analyst Michael Ng downgraded Super Micro Computer (SMCI) from Neutral to Sell, reducing the price target from $40 to $32. Key concerns include potential market share erosion due to competitor investments, expected gross margin contraction from 2025-2027, and high customer and supplier concentration risks.
March 24, 2025 | 3:00 pm
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Goldman Sachs downgrade highlights risks in AI server market, including competitive pressures, potential margin compression, and concentration risks.
Analyst downgrade from Neutral to Sell with price target reduction signals significant concerns about Super Micro Computer's competitive position and future profitability in the AI server market.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100