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Super Micro Computer (SMCI) Falls: Stock Goes Down 15.5%

Super Micro Computer, Inc. SMCI saw a big move last session, as the company's shares fell by nearly 16% on the day. The move came on pretty good volume too with far more shares changing hands than in a normal session. Shares of the company fell by over 9% between Sep 17 and Oct 1, 2015. However, it rose nearly 20% from Oct 1 to Oct 8, before taking a nosedive in the last trading session.

On Oct 8, Super Micro Computer provided preliminary information concerning its financial results for the first quarter fiscal 2016. The company expects revenue in the range of $529-$530 million, while the Zacks Consensus Estimate is currently pegged at 542 million.

This slump shouldn't be too much of a surprise to investors, as the company has seen 2 negative revisions in the past few weeks and its current year earnings consensus has moved lower over the last 30 days. This suggests there may be more trouble down the road. So make sure to keep an eye on this stock going forward to see if this recent slump will continue, as the earnings picture definitely suggests that this might be the case.

SMCI currently has a Zacks Rank #4 (Sell) while its Earnings ESP is 0.00%.

A better-ranked stock in the Computer-Storage Device industry is Imation Corp. IMN , which currently carries a Zacks Rank #1 (Strong Buy).

Is SMCI going up? Or down? Predict to see what others think: Up or Down

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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