$SUPER MICRO COMPUTER INC(SMCI)$ Super Micro Computer (SMCI) is plunging, and the pain might not be over. Here’s why I’d consider selling or reducing exposure:
🔥 AI Hype Deflating: Much of SMCI’s rally was driven by speculative AI euphoria. Now reality is setting in.
🧾 Valuation Still High: Despite the drop, forward P/E remains rich for a hardware company with lumpy margins.
🧯 Volatility Is Extreme: This isn't just a correction—it's a sentiment shift. That can take quarters to stabilize.
If you rode the wave up, now might be the time to lock in profits before losses deepen. Don't fight momentum in a falling market.
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