Super Micro Computer shares surge as AI server demand powers big forecast raise

Shares of Super Micro Computer jumped about 25% to a record high on Friday after the company projected quarterly results well above its current estimates due to strong demand for artificial intelligence servers.

The company is also riding a rising need for its liquid cooling solutions from data centers processing more generative AI applications.

“We speculate that the company’s upside is importantly driven by earlier-than-expected hyperscale engagements, that are keen on deploying quickly liquid cooled racks that uniquely falls into Supermicro’s area of expertise,” Rosenblatt Securities analyst Hans Mosesmann wrote in a note.