Super Micro (SMCI) just pulled off its strongest weekly run since late 2023. The server maker’s stock ripped 44% higher this week, closing in on $46.14 on Friday with a 5% daily gain.
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It’s a red-hot comeback for one of the S&P 500’s most shorted names.
SMCI Rides Data Center Momentum and Saudi Deal
The rally started Tuesday after Super Micro announced new shipments of high-density servers powered by AMD’s (AMD) EPYC 4005 chips. That move came hot on the heels of a $20 billion deal with Saudi data center giant DataVolt — a headline too big for traders to ignore.
Throw in this week’s U.S.–China tariff truce, and the macro picture lit a fire under SMCI’s bull case.
Short Squeeze Speculation Returns
As of late April, Super Micro held the title of most-shorted stock in the S&P 500. With 21% of shares sold short, traders are now wondering if the latest surge is part fundamentals, part short squeeze. When shorts scramble to cover, that buying pressure often sends prices even higher — and faster.
It’s not the first time SMCI’s stock has spiked on momentum. The name is notoriously volatile. Shares are up 51% in 2025, yet still down 60% from their record $118 close in March 2024.
Is SMCI’s Run Just Getting Started?
Super Micro remains a battleground stock. The bulls see AI infrastructure demand, strategic partnerships, and a high-performance product line. Bears point to lofty valuations, erratic cash flow, and lingering volatility.
But with short interest still sky-high and momentum firmly in its corner, SMCI may have room to climb — or explode — depending on who blinks first.
Is SMCI a Good Stock to Buy Now?
TipRanks rates SMCI a Moderate Buy, based on 12 analyst reviews over the past three months. Six say Buy, five are sitting on Hold, and one is waving the red flag with a Sell. It’s a mixed bag, reflecting a market still caught between AI-fueled hype and old-school valuation math.
The average SMCI price target lands at $40.17, which actually points to a 12.6% downside from the current share price. But the spread is telling. The most bullish analyst sees the stock flying to $70, while the lowest pegs it at just $24.
Wall Street sees the upside — but they’re not ready to strap in without a seatbelt.
