Meet the Newest Artificial Intelligence (AI) Stock in the S&P 500. It Soared 1,700% in 2 Years, and Wall Street Says the Stock Is Still a Buy
The S&P 500 (SNPINDEX: ^GSPC) is the most popular benchmark for the U.S. stock market. The index includes 500 large-cap companies, currently defined as companies worth at least $18 billion, and it covers about 80% of domestic equities by market capitalization. To be considered for inclusion, a company must also be profitable, and its stock must be sufficiently liquid.
Super Micro Computer (NASDAQ: SMCI) became the newest artificial intelligence (AI) company in the S&P 500 when it joined the index in March 2024, little more than a year after it joined the S&P MidCap 400 in December 2022. Meanwhile, shares soared over 1,700% over the last two years as strong demand for AI computing products fueled rapid sales growth.
The stock still carries a consensus rating of "buy" among Wall Street analysts, and the median price target of $965 per share implies 26% upside from its current price of $762 per share. Here's what investors should know about Supermicro.
Source Fool.com
