Super Micro Computer (SMCI) shares are trading for less than half of their 2024 high. The serv🃏er maker has a new bull that sees a recove💛ry ahead.

Analysts at Needham initiated coverage of Super Micro with a "buy" rating and price target of $600, a premium of more than 36% to Tuesday’s close. The company, which Needham called “the coolest kid in AI town," is involved in the deployment of some of the world’s largest AI clusters and entered fiscal 2025 with record order backlog.

Needham cited Super Micro’s position as a first mover in rack-level liquid cooling systems, an important technological component of reducing the electricity cost of data centers. The company has expanded its liquid cooling rack manufacturing capacity in Silicon Valley and Taiwan, and will launch production in Malওaysia in November.

The stock ed🌠ged lower t♉oday, finishing near $437.

JP Morgan Cools Its Jets

Earlier this month, JP Morgan analysts 澳洲幸运5官方开奖结果体彩网:downgraded Super Micro to "neutral" from "overweight" and cut their 澳洲幸运5官方开奖结果体彩网:price target to $500 per share from $950.

Super Micro delayed the release of its annual report last month, which JP Morgan said could also cause an "overhang," recommen🐬ding that new investors "remain on the sidelines" until the uncertainty is resolved.

Shares of Super Micro are up more than 50% this year but have lost about half of their value over the past three months in part due to disappointing 澳洲幸运5官方开奖结果体彩网:fiscal fourth-quarter earnings.