Goldman Sachs Raises Super Micro Price Target Despite Revenue Miss and Margin Concerns
Super Micro Computer (SMCI) received a tempered vote of confidence from Goldman Sachs analyst Mike Ng, who raised the firm's price target to $30 while maintaining a Sell rating. The adjustment follows SMCI's disappointing preliminary Q1 fiscal 2026 results, where revenue fell $1.5 billion short of expectations at $5 billion.
The AI server specialist attributed the shortfall to delayed customer system upgrades pushing deliveries into Q2. Ng warns this revenue miss will likely pressure gross margins, though noted some encouraging signs in the company's long-term positioning within the AI infrastructure space.
As one of TipRanks' top 12% analysts (ranked #1,141 of 10,084), Ng's 55% success rate and 10.70% average return per rating lend weight to his cautious outlook. The revised target still implies 37.4% downside from current levels, reflecting persistent concerns about execution risks in the competitive AI hardware sector.
