Super Micro Computer Inc., a server maker, has revised its annual revenue target downward to $33 billion for the upcoming fiscal year. This represents a decrease from the initial forecast of $40 billion set in February. The company’s current revenue stood at $22 billion during the previous fiscal year.
Analysts had previously expressed doubts about Super Micro’s ability to meet the higher revenue target due to various market factors. With this revised goal, it appears that the company is now focusing on a more conservative and achievable financial outlook. The updated estimate reflects the company’s assessment of its growth prospects in the coming year.
As the server maker adjusts its expectations, its stock price has also been impacted, sinking as a result. This shift highlights the challenges faced by many companies in the technology sector, particularly those with ambitious revenue targets.
Source: https://www.marketwatch.com/story/super-micro-backs-away-from-a-lofty-goal-and-its-stock-is-sinking-5061eedf