Super Micro Stock Has 45% Upside, Says Rosenblatt -- Here's the Bullish Case Nauman Khan Fri, October 16, 2026 at 11:15 AM EDT SMCI -7.04% WDC -4.21% NVDA +0.03% Explore stocks on Coinbase Trading disclosure Trading disclosure The above button links to Coinbase. Yahoo Finance is not a broker-dealer or investment adviser and does not offer securities or cryptocurrencies for sale or facilitate trading. Coinbase pays us for certain activity generated through this link. Prices displayed are informational.
Super Micro Computer's challenge is turning a large AI server order pipeline into profitable growth while rebuilding investor confidence in its financial management. Rosenblatt Securities maintained its $51 price target.
Analyst Sajal Dogra retained a Buy rating. His target compares with a reference share price of $35.09, suggesting potential upside of about 45.5%. The valuation uses roughly 10 times his fiscal 2027 earnings-per-share estimate.
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Demand provides the growth case. Super Micro has more than $60 billion in AI server orders from over 20 customers. Dogra expects Nvidia's Vera Rubin platform to reach higher-volume deployment by the January quarter, potentially supporting additional server demand.
Profitability remains a key test. Rosenblatt forecasts a gross margin of 11% in fiscal 2027, making cost control important as the company works to fulfill orders.
The appointment of CFO Mark Long adds another factor. At Western Digital (WDC), his previous employer, Long helped reduce debt principal by about $2 billion in fiscal 2018 and lower borrowing costs. Dogra views the leadership change, improved internal controls and clean fiscal 2026 audit as steps that could ease governance concerns. Wall Street's consensus rating remains Hold, with an average price target of $39.38.
