On July 22, Super Micro Computer surged 20.31% overnight, trading at $30.68/share. The rally was driven by a preliminary business update revealing a substantial upward revision to fiscal Q4 gross margin guidance and record-breaking new orders.

The company raised its FY2026 fourth-quarter GAAP and non-GAAP gross margin expectation to 15%-17%, nearly double the previous guidance of 8.2%-8.4% issued in May. Management attributed the improvement to a favorable customer and product mix. Additionally, new orders for the quarter exceeded $60 billion, pushing backlog orders to an all-time high, with deliveries expected over the coming quarters — a strong forward revenue signal.

However, the company noted that quarterly revenue is expected near the low end of its $11 billion to $12.5 billion guidance range. The positive update also lifted peers, with Dell rising approximately 5% and HPE gaining around 4% in sympathy. Super Micro is scheduled to hold its earnings call on August 11.

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