1 Wall Street Analyst Thinks Super Micro Stock Is Going to $1,300. Is It a Buy?
After a meteoric rise over the past year fueled by the AI frenzy, shares of server manufacturer Super Micro Computer (NASDAQ: SMCI) are starting to face some resistance. While the stock is still up more than 1,000% since the beginning of 2023, it's lost considerable ground in the past few weeks.
An analyst at Northland sees this dip as a bump in the road. Northland's Nehal Chokshi maintained an outperform rating on the stock while boosting his price target from $925 to $1,300 per share. That new price target is about 34% higher than where the stock trades as of this writing.
Chokshi estimates generative AI could drive 20% gains to knowledge worker productivity, in turn fueling the long-term expansion of the AI server market to $560 billion. He sees Super Micro eventually controlling 16% of that large market.
Source Fool.com