Needham & Company Maintains a 'Buy' on Super Micro Computer (SMCI); Demand Strong but Wide F3Q Guidance Range on HDD Supply Uncertainty

Needham & Company maintains a 'Buy' on Super Micro Computer (NASDAQ: SMCI) price target raised from $19 to $21.

Needham analyst says, "SMCI is the leading provider of application optimized server solutions which are servers and components configured to meet specific customer needs. SMCI sees strong customer interest in its approach from segments including server farms, certain verticals with complex computing requirements, and OEMs. SMCI is/should benefit from ongoing datacenter refresh, product cycle (ie. Sandy Bridge), expanding sales capacity, penetration of internet datacenters, and Asian facilities expansion. It is targeting op. model of 9-12% (vs. 6.5% in F2Q)."

Needham lowers FY12 EPS estimate from $1.22 to $1.01, but raises FY13 from $1.40 to $1.44.

For an analyst ratings summary and ratings history on Super Micro Computer click here. For more ratings news on Super Micro Computer click here.

Shares of Super Micro Computer closed at $17.47 yesterday.

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