Nice bounce but now what? They miss earnings and lowered guidance and still have that dept of justice issue. I am waiting on nvda. That said, i would not be surprised if smci closed near the lows today. However, I hope im wrong because I know a lot of you guys are long and I want to see all of you do well.
it is overvalued because precisely that, a computer builder with very thin margin to aasemble the components together. if the ceo doesn't have good friendship with huang's family, the company would not have priority access to nvda chips to ride the recent waves.
Super Micro keeps super tight margins to keep the competition out and can only exist on high volume builds but they have a solid client base. It's just really hard to give it a base price with a low of 3.5, a high of 122.9 and an avg of 30-40.. and that's within a 2 year period! I just really enjoy the weekly 10-15% swings.
Congrats on your huge profit. Indeed $55 to $43 is a huge movement. 25% profit in less than a week is excellent. Next trade please.