Super Micro Computer: The 'CANSLIM' Investment Strategy Suggests Further Upside

Real Investments
2.38K Followers

Summary

  • Super Micro Computer is undervalued despite its rich valuation, according to the CANSLIM method.
  • SMCI meets the CANSLIM criteria, including strong and increasing earnings, consistent and significant revenue growth, and market leadership in developing innovative products.
  • The demand for the Company's products, its strong leadership, and institutional support indicate further upside potential.
  • The expected growth in demand for SMCI over the next decade will result in surging EPS.

Interior of big modern server room. 3d rendering illustration

IR_Stone

Preamble

In this article, I give reasons for my conviction that Super Micro Computer (NASDAQ:SMCI) is undervalued, despite apparent fairly rich ratios. The logic for this hypothesis employs the CANSLIM method of identifying winners, which was championed in William O'Neil's well-respected

This article was written by

2.38K Followers
I have been an active trader for more years than I can remember, During that time I have gained experience in investing in just about everything; commodities, stocks, options, and an occasional flutter with futures contracts. Fortunately, I have had some success, which has enabled me to retire from the 9 – 5.

Analyst’s Disclosure:I/we have a beneficial long position in the shares of SMCI, NVDA either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

About SMCI Stock

SymbolLast Price% Chg
Market Cap
PE
Yield
Rev Growth (YoY)
Short Interest
Prev. Close
Compare to Peers

More on SMCI

Related Stocks

SymbolLast Price% Chg
SMCI
--