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SMCI · Q4 FY2026

Super Micro Computer, Inc. Q4 FY2026 earnings analysis

By SageNoodle ResearchBullish
Reported results versus estimates
MetricActualEstimateResult
Revenue$11.12B$5.76B (yr ago)Beat
EPS$1.67$0.31 (yr ago)Beat
Free Cash Flow$0.72B$0.84B (yr ago)Miss
Gross Margin17.5%9.5% (yr ago)Beat
Operating Margin13.4%4.0% (yr ago)Beat

What changed

Q4 FY2026 revenue nearly doubled from the prior-year quarter, while gross margin increased 8.0 percentage points and operating margin increased 9.4 points. EPS rose to $1.67, but free cash flow slipped to $0.72B and could not offset the severe cash consumption earlier in FY2026.

Impact on the investment thesis

With no prior SageNoodle fair value, we establish a $42.25 base case rather than describe the quarter as a valuation revision. The margin rebound supports higher normalized earnings, but FY2026 free cash flow of negative $7.0B prevents a more generous multiple.

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