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SMCI Stock: Cheap Valuation Meets Margin Volatility Risk

Yahoo Finance Read original source (opens in a new tab)
The Story

News Summary

  • Super Micro Computer (SMCI) trades cheap at 16.5x earnings despite 56% revenue growth and record backlog, but volatile gross margins (10.8% vs 17.6% one quarter) raise execution risk concerns.
  • Article draws parallel to NVIDIA's falling multiple as a similar warning sign.
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