SMCI Stock Soars
SMCI stock jumped sharply in premarket trading on Wednesday after Super Micro Computer issued an upbeat business update that included record orders and an improved gross margin forecast.
Supermicro shares rose 15.88% to $29.55 in premarket trading, which added $4.05 from the previous closing price of $25.50. SMCI stock already gained 7.01% during Tuesday’s regular trading session, finishing $1.67 higher.
Supermicro stock price over the past day (Source: Google Finance)
The rally followed Supermicro’s announcement that its order backlog reached a record level at the end of fiscal 2026. The AI server manufacturer said it received more than $60 billion in new orders during the fourth quarter alone. The company now expects to fulfil a big portion of this backlog over the coming quarters as demand for artificial intelligence infrastructure is very strong.
Supermicro Raises Gross Margin Forecast
A major driver behind the SMCI stock rally was Supermicro’s revised gross margin outlook. The company expects its gross margin to range between 15% and 17%, nearly double its previous guidance of between 8.2% and 8.4%.
Announcement shared by Supermicro
Supermicro attributed the improved forecast primarily to a more favorable mix of customers and products.
The margin increase is important for investors because concerns about profitability have weighed on SMCI stock despite the growing demand for AI servers. Supermicro builds servers and data center systems using processors and accelerators supplied by companies such as Nvidia, AMD and Intel.
Its systems have become very important as technology companies invest heavily in the computing infrastructure required to train and operate advanced AI models.
Record AI Orders Support SMCI Stock
Supermicro’s backlog provides some more visibility into its future revenue, although the company will still need to prove that it can deliver the orders efficiently and convert demand into stronger profits.
The company has also been linked to major AI infrastructure projects. In June, Supermicro CEO Charles Liang said the business was working with Elon Musk’s companies to build another gigawatt-scale AI data center for SpaceX and xAI within a year.
However, SMCI stock has experienced a lot of volatility. Shares are still down approximately 13% since the beginning of the year, despite the latest rally. The stock fell sharply in June after Supermicro announced an equity raise intended to fund component purchases needed to fulfil approximately $39 billion in AI server orders. The capital raise led to concerns about shareholder dilution and the amount of funding required to support the company’s expansion.
Wednesday’s premarket move suggests investors are becoming more optimistic that Supermicro’s record backlog can translate into improved margins and stronger financial performance.
