Super Micro Computer (SMCI) is set to replace Walgreens Boots Alliance (WBA) in the Nasdaq 100 index (NDX) on July 22. This move will elevate SMCI to one of the most valuable non-financial companies in the Nasdaq 100.
Supermicro is an information technology company specializing in server and storage solutions. The decision to include SMCI in the index comes after Walgreens experienced a significant decline in market value, leading to its removal. In contrast, Super Micro has seen a remarkable year, with its stock price soaring over 220% and its market valuation exceeding $50 billion.
With strategic collaborations with industry leaders like Nvidia, Intel, and AMD, Supermicro is well-positioned to benefit from the growing demand in the technology sector. However, despite the stock’s impressive performance, Wall Street analysts remain cautiously optimistic. The stock holds a Moderate Buy consensus rating, with an average price target of $1,051.11, suggesting a potential upside of 15.5% from current levels.