• Citigroup upgraded Super Micro Computer, Inc. (NASDAQ:SMCI) from "Reduce" to "Neutral".
• Analysts expect a decrease in earnings per share but a significant increase in quarterly revenue.
• SMCI's stock has experienced significant volatility over the past year, with a wide range between its high and low prices.

Super Micro Computer, Inc. (NASDAQ:SMCI) is a company that designs and manufactures high-performance server and storage solutions. It operates in a competitive market alongside companies like Dell Technologies and Hewlett Packard Enterprise. On May 6, 2025, Citigroup updated its rating for SMCI from "Reduce" to "Neutral" when the stock was priced at $32.52, as highlighted by Benzinga.

This rating change comes as Super Micro Computer prepares to release its third-quarter earnings results. Analysts expect earnings of $0.30 per share, a decrease from $0.67 per share in the same period last year. Despite this anticipated drop in earnings per share, the company is projected to report a significant increase in quarterly revenue, reaching $5.05 billion compared to $3.85 billion a year earlier.

The company's recent adjustment of its preliminary guidance for the third quarter may have influenced market expectations. On Monday, SMCI shares experienced a decline of 4.6%, closing at $32.17. However, the stock price has since increased to $32.52, reflecting a 1.09% rise or $0.35. During the day, the stock fluctuated between a low of $31.52 and a high of $32.81.

Over the past year, SMCI's stock has seen a high of $101.40 and a low of $17.25, indicating significant volatility. The company has a market capitalization of approximately $19.41 billion, with a trading volume of 16.26 million shares on the NASDAQ exchange. As the earnings call approaches, analysts have revised their forecasts, which could impact investor sentiment and the stock's performance.