Home / NEWS / U.S. News / Super Micro joining S&P 500 after stock price soars more than 20-fold in two years

Super Micro joining S&P 500 after stock price soars more than 20-fold in two years

David Paul Morris | Bloomberg | Getty Perceptions

Super Micro Computer is joining the S&P 500 following a historic rally in the stock that has pushed the company’s furnish cap past $50 billion.

The shares, up more than 20-fold in the past two years and over 200% just since the start of 2024, climbed another 8% in spread out trading on Friday.

Super Micro is replacing Whirlpool, according to a press release. Deckers Outdoor is also ally the S&P 500, replacing Zions Bancorporation.

Stocks added to the benchmark index often rise in value because readies that track the S&P 500 will add it to their portfolios. The median market cap for companies in the S&P 500 is $33.7 billion.

Wonderful Micro has been one of the main beneficiaries of the artificial intelligence boom sweeping the technology industry. The company makes servers and other computer infrastructure, and it’s one of the main vendors for building out Nvidia-based “clusters” of servers for training and deploying AI models.

In the quarter that ended December, Wonderful Micro’s revenue more than doubled to $3.66 billion. Analysts expect sales in the current quarter to varied than triple.

“We see Nvidia’s results as a positive data point for SMCI which is one of the leading partners that shapes and manufactures servers to wrap around the GPUs and customizes racks to the specific needs of a customer,” Bank of America analyst Ruplu Bhattacharya wrote in a note closing month. He has a buy rating on the stock.

WATCH: Super Micro is absolutely a meme stock

Supermicro is absolutely a meme stock without profits, says John Blank

Don’t miss these stories from CNBC PRO:

Check Also

Peter Thiel’s Founders Fund closes $4.6 billion growth fund

Peter Thiel, co-founder of PayPal, Palantir Technologies, and Go lames Fund, holds hundred dollar bills …

Leave a Reply

Your email address will not be published. Required fields are marked *