Super Micro Computer (NASDAQ: SMCI) heads into its fiscal Q3 2026 earnings report on May 5 with investors weighing blockbuster AI server demand against a mounting legal overhang.
For the fiscal third quarter, the company expects revenues of $12.3 billion, against a consensus estimate of $12.4 billion, which would represent growth of approximately 169% year-over-year. Non-GAAP EPS guidance for the quarter is set at $0.60.
Super Micro Computer (NASDAQ: SMCI) recently opened a new 714,000 square foot campus in San Jose, California, its largest U.S. site to date. The 32.8-acre facility brings Supermicro’s total Bay Area footprint to nearly 4 million square feet and is built to handle the full stack of AI infrastructure manufacturing, system design, testing, and services. Shares rose more than 8% on the announcement.
However, Oracle reportedly cancelled a server rack order estimated at between $1.1 billion and $1.4 billion, a development that had already hit the stock before the campus news provided a partial recovery.
Legal issues remain the central overhang on sentiment. Shareholders filed a class action lawsuit alleging SMCI sold $2.5 billion worth of servers to Chinese customers in violation of U.S. export controls. Co-founder Wally Liaw resigned from the board in March 2026 after an export-control indictment involving former associates, and an independent board investigation has been launched in response. The lead-plaintiff deadline for the class action is May 26, 2026.
Analyst consensus expects revenue of approximately $11 billion for Q3. Rosenblatt cut its price target from $50 to $32 but maintained a Buy rating, while Goldman Sachs lifted its target slightly from $26 to $27 while keeping a Sell. Super Micro Computer (NASDAQ: SMCI) traded around $27 in early May, with a 52-week range of $19.48 to $62.36.
Ewan is a reporter at the Foreign Policy Journal, primarily covering US current affairs and news related to NYSE-listed stocks. He has over two decades of experience in journalism and digital publishing.
