Super Micro Computer (SMCI) stock surged about 10% in midday trading Wednesday, Oct. 21 after the AI server maker raised its quarterly revenue forecast, citing “increased demand for AI platforms” despite recent market concerns over AI financing. The rally comes after a difficult week for AI stocks. Investors have been concerned about the massive cost of building data centers, particularly as companies such as CoreWeave (CRWV) rely heavily on debt to finance their expansion. Super Micro works closely with chip makers like Nvidia (NVDA) and builds ready-to-use server hardware that supplies major cloud players like Microsoft (MSFT) and Amazon (AMZN).
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