Super Micro Stock Tumbles. Why the AI Server Maker Cut Fiscal First-Quarter Revenue Guidance.

Super Micro Computer reduced its fiscal first-quarter revenue guidance due to a delay in customer delivery schedules. (Annabelle Chih/Bloomberg)

Key Points

• Super Micro Computer reduces its fiscal first-quarter revenue forecast to approximately $5 billion, down from an earlier range of $6 billion to $7 billion.
• The company attributes the revenue adjustment to delayed customer delivery schedules, shifting some revenue to the second fiscal quarter.
• Despite the quarterly revision, Super Micro Computer reaffirms its fiscal-year revenue outlook of at least $33 billion.

Super Micro Computer may be back in the good graces of some investors after resolving concerns over the potential delisting of its stock at the start of the year, but the company’s struggles aren’t over yet.

In a business update Thursday, the artificial-intelligence server maker said it now expects fiscal first-quarter revenue of roughly $5 billion, down from a prior range of $6 billion to $7 billion. Analysts were looking for $6.49 billion, according to FactSet.

The company pointed to a delay in customer delivery schedules, saying this pushed some revenue expected in the first quarter of fiscal 2026 to the second quarter.

Shares tumbled 6.7% to $48.97. Industry peers HP Inc. and Intel were up 0.9% and 1.1%, respectively. Super Micro was the second-worst performing stock in the S&P 500 on Thursday.

The company otherwise reaffirmed its outlook, saying it still anticipates fiscal-year revenue of at least $33 billion. This compares to a $31.94 billion forecast on Wall Street.

CEO Charles Liang asserted the company was seeing “outstanding levels of customer engagement” for new products as well as “numerous key customers ramping large, multi-quarter, volume deployments.”

“We see customer demand accelerating, and we are gaining AI share,” Liang said in a statement. Super Micro is set to report earnings on Nov. 4.

The company’s ability to manufacture and ship new design-win orders within one quarter “remains unclear,” Citi Research analyst Asiya Merchant wrote Thursday.

She expects investors to hone in on margins “as Supermicro targeting larger customers and larger sales opportunities may result in cost of sales rising, and margins compressing, leading to revenue variability.” Merchant rates the stock at Hold with a $48 price target.

Write to Mackenzie Tatananni at mackenzie.tatananni@barrons.com