Super Micro Computer (SMCI) stock is joining the infamous “Hero to Zero” club

Super Micro Computer (SMCI) stock is joining the infamous “Hero to Zero” club

Super Micro Computer (SMCI) stock’s continued volatility has earned it a place in Wall Street’s “Hero to Zero” club.

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The infamous club is reserved for stocks that are so volatile that they lead gains in the S&P 500 one day, but then turn around the next day and are the worst-performing stock in the benchmark index, or vice versa. SMCI stock has achieved this feat in recent days.

On Nov. 25, Super Micro Computer shares rose 16%, making it the S&P 500’s biggest gainer that day. But on Nov. 26, shares of the high-efficiency server maker plunged more than 10%, making the company the worst performer among the 500 stocks listed in the index.

Other volatile stocks

According to Dow Jones Market Data, only six other stocks have achieved hero-to-zero status this year. Like Super Micro Computer, these are stocks that have experienced extreme volatility. Other rollercoaster stocks include International Paper (IP), Globe Life (GL), Albemarle (ALB), Franklin Resources (BEN), Dollar Tree (DLTR), and Amentum Holdings (AMTM).

Shares of Super Micro Computer fluctuated wildly in November as the company faced the threat of delisting from the Nasdaq stock exchange where it trades, announced it had hired a new auditor and into the Movement of stocks related to artificial intelligence (AI).

SMCI stock moved up or down 10% on 10 of the 19 trading days in November. The company’s share price is up 23% this year.

Is SMCI Stock a Buy?

Super Micro Computer shares receive a unanimous “Hold” rating from 10 Wall Street analysts. This rating is based on two buy, six hold, and two sell recommendations made over the past three months. The average SMCI price target of $39.43 implies an upside of 12.43% from current levels.

Read more analyst reviews on SMCI stock

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