AI-Driven Earnings: What to Expect from Vertiv and Super Micro
As we navigate through the 2024 Q4 earnings season, positive trends are emerging. Next week brings significant updates from major players in the AI sector, including Vertiv (VRT) and Super Micro Computer (SMCI).
Vertiv: Powering the Future
Vertiv specializes in services for data centers, communication networks, and industrial facilities with a strong offering in power, cooling, and IT infrastructure. Analysts remain optimistic about Vertiv’s earnings and sales, with a forecast indicating 50% growth in earnings per share (EPS) and a 15% increase in sales. This growth is largely attributed to the rising demand for AI infrastructure solutions.
Below is a chart illustrating the company’s sales on a quarterly basis.
Image Source: Zacks Investment Research
Super Micro Computer: Innovating IT Solutions
Super Micro Computer offers comprehensive IT solutions spanning AI, Cloud, Storage, and 5G/Edge services, which explains the growing interest in its stock. However, EPS estimates have dropped in recent months. Currently, the consensus estimate stands at $0.62 per share, suggesting a modest 10% increase.
Sales forecasts are also revised downwards, with estimated revenue at $5.8 billion, reflecting a 5% decrease compared to earlier expectations, yet still pointing to an impressive 60% year-over-year growth. This indicates that, similar to Vertiv, Super Micro has experienced significant revenue growth recently.
Image Source: Zacks Investment Research
Image Source: Zacks Investment Research
Conclusion: Key Earnings Ahead
As the 2024 Q4 earnings cycle unfolds positively, all eyes will be on the updates from Super Micro Computer (SMCI) and Vertiv (VRT) next week. The guidance provided during these earnings calls will be crucial for gauging how investors respond after the results.
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Super Micro Computer, Inc. (SMCI): Free Stock Analysis Report
Vertiv Holdings Co. (VRT): Free Stock Analysis Report
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