Taiex rebounds led by AI stocks as Supermicro raises sales outlook

Dell Technologies (DELL) stock rose 5.51% in premarket trading on October 21, following Super Micro Computer's (SMCI) raised sales and gross margin forecast due to strong AI server demand. SMCI's updated revenue forecast ranges from $18.5B to $19.5B, higher than previous estimates. Dell, also a supplier of AI servers, has seen strong demand, with $60.9B in AI orders in Q2 fiscal 2027. Barclays downgraded Dell to Equalweight but maintains a positive outlook on its AI server business.

Needham reiterated a Buy rating and $46.00 price target on Super Micro Computer (SMCI) after its preliminary Q1 FY2027 results showed revenue of $19.0B, exceeding prior guidance of $15.0B due to AI demand. Gross margins are expected to improve to 12.0%-12.5%. Bernstein raised its target to $42. SMCI is partnering with NVIDIA and Cisco, and Rosenblatt cited strong AI order momentum.

Super Micro raised its Q3 revenue forecast to $18.5B-$19.5B, up from $14.5B-$15.5B, and improved gross margin outlook to 12%-12.5%. Dell and HPE shares rose 5% and 4% premarket, respectively, as the update signals strong AI hardware demand. Both stocks have gained significantly in 2026 but faced recent declines amid AI spending concerns.

Super Micro Computer (SMCI) shares rose 12.9% in pre-market trading after raising its Q1 FY2027 revenue forecast to $18.5B-$19.5B (up from $14.5B-$15.5B) and gross margin to 12.0%-12.5%. The company cited increased demand for AI infrastructure platforms. Analysts' reactions were mixed, with Citi maintaining a Neutral rating and Rosenblatt Securities reiterating a Buy rating. Competitors Dell (DELL) and Hewlett Packard Enterprise (HPE) also saw gains.

Micron (MU), SanDisk (SNDK), and SK Hynix (SKHY) stocks rose in premarket trading. SpaceX (SPCX) and Super Micro (SMCI) reported strong results, easing AI demand concerns. Micron reached a labor agreement, while SK Hynix faces activist investor interest and plant upgrades. Upcoming earnings reports could impact these memory stocks.

Super Micro Computer's shares rose 12.7% after it forecast Q1 revenue of $18.5B-$19.5B, above estimates of $15.23B, and raised profit margin expectations to 12%-12.5%. The company benefits from strong AI data center demand, with tech giants expected to spend over $700B on AI infrastructure this year.