Overview
- Super Micro, which reported results Tuesday, said Q4 revenue was about $11.1 billion, adjusted EPS was $1.70 and gross margin recovered to roughly 17.5 percent.
- Management disclosed new orders topping $60 billion and guided Q1 revenue to $14.5 billion–$15.5 billion and full‑year FY2027 revenue to $65 billion–$72 billion, far above Street estimates.
- The company said nine customers each generated more than $1 billion in fiscal 2026 revenue, a jump from four the prior year that the firm links to accelerating enterprise AI spending.
- Markets pushed SMCI shares sharply higher and several brokerages raised price targets while warning that Q4 margins may not be sustainable and Q1 margin guidance is materially lower at the midpoint.
- Key risks remain that could derail the thesis: a DOJ indictment of co‑founder Yih‑Shyan Liaw (the company is not charged) and a board‑led independent review, inventories that rose sharply, negative operating cash flow of roughly $6.8 billion for the year, and planned equity‑linked financing to fund backlog fulfillment.