Super Micro Computer, Inc. (NASDAQ:SMCI) is one of the stocks Jim Cramer talked about. A caller asked if Cramer would recommend starting a position in the stock, and he replied:
“No, I can’t because it’s still got those accounting issues, and I think accounting regulations equal sell. I know the CFO of Dell left, and I think that even though the stock is obviously being punished because of that, I would be a buyer of Dell, not Super Micro. I think tomorrow is the day to buy Dell.”
A laptop and a computer monitor display a detailed stock market technical analysis chart. Photo by Jakub Zerdzicki on Pexels
Super Micro Computer, Inc. (NASDAQ:SMCI) makes modular server and storage systems and provides related management software and deployment services for AI and data-center applications. In a May episode, when a caller inquired whether they should think about getting rid of the stock, Cramer replied:
“No, no. To tell you the truth, I mean, this one had some accounting issues. They do seem to be now long enough behind them that analysts are starting to recommend the stock again. It’s relatively cheap versus the whole cohort. If you want to consider the cohort… like a CoreWeave or, of course, an NVIDIA, and I would tell you, it is more expensive than Dell. I do like Dell more, but I think you could do a lot more… with Super Micro. But let me tell you something, you’ve got more product knowledge than I do, and I like what you had to say.”
The stock is down around 4.6% since the above comment.
While we acknowledge the potential of SMCI as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.
Disclosure: None. This article is originally published at Insider Monkey.
