Super Micro Computer, Inc. (SMCIP)

Electronic Computers

Latest Price

$50.37

TTM P/E

26.37

Normalized P/E

10.91

Div Yield

Book Value

12.67

P/B Ratio

3.98

Valuation metrics

EPS: $1.68

Book value / share: $10.61

Formula: √(22.5 × EPS × BVPS)

Graham Number

$20.02

60% downside

Norm. op. income: $335M (median of 7yr)

Tax rate: 13%

Discount rate: 10%

Growth assumption: zero (EPV is a no-growth value)

Earnings Power Value

$13.12

74% downside

Base FCF: $627M (median of recent 5yr)

Growth: 5%/yr (median YOY, capped at 25%)

Discount rate: 10%

Terminal growth: 3%

Projection horizon: 10 years

DCF Fair Value

$26.20

48% downside

EPS: $1.68

Target P/E: 11×

Formula: EPS × P/E

P/E Fair Value

$18.48

63% downside