SMCI Surges 69.3% Over Three Months: The Logic Behind It and Future Investment Opportunities

Fundamental support with a rise of 69.3% over three months

The rise of SMCI is not speculation, but is supported by solid fundamentals. Since the beginning of the year, the company has been continuously expanding its production capacity and significantly increasing its market share in the AI server sector. Especially since the second quarter of 2025, it has reached order cooperation with several large international enterprises, significantly improving its revenue expectations.

AI and data center demand continue to drive performance

AI models require substantial GPU computing power, and the customized server solutions provided by SMCI offer flexibility and high performance, making them popular in the market. Data center vendors are also accelerating their procurement of SMCI products due to the expansion of cloud services.

What is the financial health status?

• Stable revenue: Last quarter’s revenue exceeded 2.2 billion USD, remaining flat year-on-year;
• Net profit decline: Profit shows a slight decrease, with EPS expected to decline by 6.3% year-on-year;
• Low debt ratio: The current financial structure is sound, and free cash flow remains positive.

Technical advantages and global cooperation landscape

The company is continuously advancing technology research and development in areas such as heat dissipation, energy conservation, and AI algorithm optimization, and is building global delivery capabilities through deep binding relationships with companies like DataVolt, NVIDIA, and AMD.

Recent Highlights: Earnings Report and New Product Launch

• The financial report on August 5 may become a turning point for the short-term stock price trend.
• The next generation GPU servers will be unveiled at the technology summit on August 12, which may further enhance market attention.

Summary: What investment targets are worth paying attention to in the medium to long term?

From a three to five year investment perspective, SMCI still has ample room for growth. The AI and high-performance computing industries are still in the expansion phase, and SMCI’s product structure and customer base have advantages. However, it is also necessary to be wary of short-term valuation fluctuations. Investors are advised to pay attention to earnings report timelines and seize entry opportunities.