This Stock Beat Nvidia in the First Half. Can It Do It Again?
What is Nvidia's forward earnings multiple compared to Supermicro?
Nvidia's forward earnings multiple is higher than Supermicro's. Nvidia trades at around 46 times forward earnings estimates, while Supermicro trades at about 24 times forward earnings estimates1. This indicates that Nvidia is more expensive in terms of valuation compared to Supermicro.
How long has Super Micro Computer been in business?
Super Micro Computer has been in business for over 30 years.
What key technology is driving Supermicro's growth?
Supermicro's growth is driven by the booming demand for artificial intelligence (AI) chips. The company's server rack solutions allow data center operators to economically deploy AI accelerators, reducing cooling and electricity costs while maintaining optimal performance. Supermicro's AI server solutions are used for mounting AI chips from Intel, Nvidia, and Advanced Micro Devices, contributing to its rapid growth.