Needham lowered the firm’s price target on Super Micro (SMCI) to $40 from $51 and keeps a Buy rating on the shares. The company’s Q2 earnings beat is attributed to a major customer’s data center deployment, while is DCBBS – Data Center Building Block Solutions – is gaining momentum across key customers, the analyst tells investors in a research note. The firm adds however that its its reduced price target reflects multiple compression in the AI hardware sector.
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