Supermicro Stock Is Soaring Today. Should You Buy The Hot AI Stock Before May 6?

Shares of Super Micro Computer (NASDAQ: SMCI) are rising on Thursday. The company's stock gained 4.9% as of 2:11 p.m. ET and had gained as much as 5.2% earlier in the day. The leg up comes as the S&P 500 gained 1% and the Nasdaq Composite gained 2% on the day.

A day after dropping nearly 20%, the AI server company's stock is rising after Microsoft and Meta Platforms reiterated in their Wednesday earnings calls that artificial intelligence (AI) spending was continuing apace.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Learn More »

AI spending is still strong

Microsoft confirmed yesterday it's on track to spend $80 billion in capital expenditures (capex) while Meta raised its capex forecast for the year by as much as $7 billion, now expecting to spend between $64 billion and $72 billion. The vast majority of these spends will be targeted toward AI infrastructure.

The revelation that AI spending from some of the biggest companies in tech would not slow down was a breath of fresh air for much of the industry. Supermicro had released preliminary numbers ahead of its earnings call on May 6 that spooked investors, leading to yesterday's 20% drop in the stock price. The positive reports from Microsoft and Meta served as a counterbalance to Supermicro's preliminary numbers, buoying investor sentiment.

Supermicro has some issues

Still, while the continued spending from tech giants is good news for the industry as a whole, Supermicro's own numbers were damning. The company expects to report $0.29 to $0.31 in earnings per share (EPS), which is well off Wall Street's target of $0.54. This comes at a time when the company is mired in controversy surrounding its accounting practices and the high-profile resignation of its auditor, Ernst & Young. I would stay away from Supermicro stock.

Should you invest $1,000 in Super Micro Computer right now?

Before you buy stock in Super Micro Computer, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Super Micro Computer wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $610,327!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $667,581!*

Now, it’s worth noting Stock Advisor’s total average return is 882% — a market-crushing outperformance compared to 161% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

See the 10 stocks »

*Stock Advisor returns as of April 28, 2025

Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool's board of directors. Johnny Rice has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Meta Platforms and Microsoft. The Motley Fool recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.