Super Micro is one of the AI companies that has enjoyed a stellar rise in the recent year, gaining 1.200% in a single year, propelling its market capitalization from $5 billion to over $60 billion in the same time-frame. This makes the company one of biggest winners on the stock market, rising over 6.700% in the past five years.
Stock Inclusion Into the S&P 500 Index
The stock is performing well on short term as well, gaining over 340% in the past three months and thus seizing an incredible opportunity- getting included into the S&P 500 index. This happened on March 18th this year, as the company is expected to double its revenue in 2024. As the investments in S&P are counted in trillions of US dollars, these investments now have to be adjusted to include Super Micro stock, generating an insatiable demand from institutional investors.
Upcoming Stock Split
Every time a stock enjoys a large increase in the price, a stock split is a possibility. Since Nvidia and Broadcom had their 10-for-1 stock splits this year and after gauging the positive effects of said splits, Super Micro has decided to follow suit, and announced its own 10-for-1 stock split on the 1st of October. This will create an even higher demand, as cheaper stocks are more attractive to most of the investors.
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AcademicFX, Stock Split, Super Micro
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