Why Super Micro Computer Stock Slumped This Morning -- but Shouldn't Have
On the heels of a remarkable rally, shares of server and storage-solution specialist Super Micro Computer (NASDAQ: SMCI), also known as Supermicro, have been taking a breather. It has gained roughly 700% over the past year, but gravity might have finally caught up with the company. The stock shed as much as 10.1% on Wednesday. As of 2:40 p.m. ET today, the stock was still down 7%.
While the shares appeared to be caught up in the general market downturn today, there was actually good news in the form of bullish coverage from a Wall Street analyst.
Rosy commentary came courtesy of Rosenblatt Securities analyst Hans Mosesmann, who maintained his buy rating on Supermicro shares while raising his price target to a Street-high $1,300. This suggests upside potential of 65% compared to Tuesday's closing price.
Source Fool.com
