An Important Development for SMCI Stock

Super Micro Computer has “arrived,” it seems. On March 18, the company officially joined the prestigious S&P 500 large-cap stock index.

Of course, this event isn’t just about prestige. Joining the S&P 500 means that a large number of index-fund holders will, in effect, own SMCI stock. Hence, some people might conclude that being an S&P 500 member will put a “floor” on the Super Micro Computer share price.

How did Super Micro Computer rise from a little-known server developer to an up-and-coming superstar? Without a doubt, the recent hype over AI played a role in Super Micro Computer’s ascendancies.

Just as there’s a strong demand for Nvidia’s AI-compatible graphics processing units, there’s also a demand Super Micro Computer’s AI-enabled servers.

Super Micro Computer can promptly manufacture and ship these servers. According to Rosenblatt Securities analyst Hans Mosesmann, “Super Micro has developed a model that is quick to market.” $NVIDIA (NVDA.US)$ $Super Micro Computer (SMCI.US)$