Shares of Super Micro Computer surged this week after the AI server maker blew past Wall Street's profit expectations and issued a fiscal 2027 revenue forecast of $65 billion to $72 billion, a figure that would represent explosive continued growth for the San Jose company.

Supermicro reported fourth-quarter earnings per share of $1.70, nearly double the $0.96 analysts had expected, even as quarterly revenue of $11.12 billion came in slightly below the $11.56 billion consensus estimate. Gross margin nearly doubled year over year, climbing to 17.5% from 9.5%, as the company's product mix shifted toward higher-margin systems.

The stock jumped roughly 15% intraday when the results were released and closed up more than 20% at $38.09 the following session, before continuing to climb this week as investors digested the scale of the company's order pipeline.

A Record Backlog — and a Cash Flow Warning

"We generated more than $60 billion in new orders and entered fiscal 2027 with a record backlog," Supermicro CEO Charles Liang said of the results, underscoring the demand fueling the AI data center buildout that has propelled the company's revenue up 93% over the past year.

"WE ENTERED FISCAL 2027 WITH A RECORD BACKLOG."

Not every metric was rosy. The company posted negative operating cash flow of $6.8 billion for the full fiscal year, a reflection of the enormous inventory and manufacturing capacity it has had to build to keep pace with orders. Supermicro's own investor filings also disclosed that its board is conducting an independent review of certain export-control-related transactions, with results still preliminary and unaudited — a lingering overhang for a company that has faced accounting and compliance scrutiny in the past.

Still, investors appear focused for now on the demand side of the story. Supermicro competes directly with Dell and HPE for a slice of the AI infrastructure boom, supplying the dense, liquid-cooled server racks that power large language model training clusters for cloud providers and enterprise customers alike. With backlog at record levels and guidance implying growth could nearly match the prior year's blistering pace, analysts covering the stock say the coming quarters will test whether the company can convert that order book into cash without repeating past strain on its balance sheet.