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Compare Stocks › SMCI vs V

Super Micro Computer, Inc. (SMCI) vs Visa Inc. (V)

SMCI
Super Micro Computer, Inc.
$27.09
VS
V
Visa Inc.
$328.03

Rewards

SMCI
  • ★Each dollar of retained earnings has created $2.99 of earning power — management is an exceptional capital allocator.
  • ★FCF yield of 9.4% is historically attractive — the business generates significant cash relative to its price.
  • ★Altman Z-Score of 4.41 indicates very low bankruptcy risk — the company is firmly in the safe zone.
V
  • ★Visa Inc. has maintained ROIC above 15% for 4 consecutive years, indicating a durable competitive advantage.
  • ★Gross margin of 97.8% indicates strong pricing power — typical of businesses with significant intellectual property or brand strength.
  • ★Visa Inc. scores 99/100 on the Economic Moat Score (Wide Moat), with roic consistency as the strongest competitive dimension.

Risks

SMCI
  • ⚠Gross margin of 8.0% is low, suggesting a competitive or commodity-like market with limited pricing power.
  • ⚠Share count has increased by 14% over the past 4 years, diluting existing shareholders.
  • ⚠Despite buyback spending, shares outstanding increased in 2 out of 2 years — stock-based compensation is offsetting repurchases.
V
  • ⚠Insiders have sold $10.9M worth of stock in the past 3 months — significant insider liquidation.

Key Valuation Metrics

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SMCI
V
Valuation
$1.53B
Free Cash Flow
$20.84B
9.42%
FCF Yield
3.34%
19.77
Trailing P/E
28.57
9.07
Forward P/E
22.15
Quality & Moat
6.76%
ROIC
38.39%
15.00%
ROE
56.25%
8.02%
Gross Margin
97.78%
1.03
PEG Ratio
0.80
Balance Sheet Safety
0.75
Debt / Equity
0.67
N/A
Interest Coverage
N/A
1.06
Net Debt / EBITDA
0.33
N/A
Dividend Yield
0.82%
SMCI: 3Ties: 1V: 7
SMCIV

Historical Fundamentals

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SMCI

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

V

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

$1 Retained Earnings Test

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SMCI
$4.61
created per $1 retained over 3 years
Exceptional Value Creator
Σ Retained
$2.84B
Δ Market Cap
+$13.10B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
V
$5.50
created per $1 retained over 3 years
Exceptional Value Creator
Σ Retained
$44.47B
Δ Market Cap
+$244.54B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

Discounted Cash Flow (DCF) Analysis

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SMCI
78.3% Margin of Safety
Price is 78.3% below estimated fair value
Current Price: $27.09
Fair Value: $125.06
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
V
6.6% Overvalued
Price is 6.6% above estimated fair value
Current Price: $328.03
Fair Value: $307.82
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued

Reverse DCF — Market-Implied Growth

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SMCI

What growth rate is the market pricing in at $27?

+5.2%
Market-Implied Owner Earnings Growth
Standard FCF implies -0.1%

The market implies +5.2% Owner Earnings growth, below historical trends — potential opportunity.

Standard FCF implies a more demanding -0.1%, reflecting heavy growth investment expected to generate future returns.

V

What growth rate is the market pricing in at $328?

+13.9%
Market-Implied Owner Earnings Growth
Standard FCF implies +13.4%

The market implies +13.9% Owner Earnings growth, above historical trends.

Standard FCF implies a demanding +13.4%, reflecting heavy growth investment.

Economic Moat Score

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SMCI
43/100
Narrow Moat
70+ Wide · 40-69 Narrow · <40 None

Narrow moat with reinvestment efficiency as the key competitive advantage. Improving margin stability would strengthen the moat.

Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
V
99/100
Wide Moat
70+ Wide · 40-69 Narrow · <40 None

Wide moat with strength across all dimensions. ROIC Consistency is the standout factor.

Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.

Forensic Accounting

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SMCI
-2.55
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
V
-2.50
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

Ownership Breakdown

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SMCI
Insiders 13.9%Institutions 56.4%Retail & Other 29.7%
No. of Institutional Holders1,060
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
V
Insiders 0.6%Institutions 91.6%Retail & Other 7.8%
No. of Institutional Holders5,826
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.

High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.

Insider Buying Activity

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SMCI
0
Buys (3M)
0
Buys (12M)
No open market insider purchases found.
Open market purchases · includes direct & indirect ownership · excludes option exercises
V
0
Buys (3M)
0
Buys (12M)
No open market insider purchases found.
Open market purchases · includes direct & indirect ownership · excludes option exercises

Open market purchases · includes direct & indirect ownership · excludes option exercises.

Insider Selling Activity

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SMCI
0
Sells (3M)
10
Sells (12M)
Total value (12M): $46.11M
TUAN SHERMAN
Director
$1.60M
@ $33.00 · 2025-11-26
KAO GEORGE W
Officer
$1.87M
@ $32.83 · 2025-11-24
WEIGAND DAVID E
Chief Financial Officer
$1.13M
@ $45.14 · 2025-09-15
WEIGAND DAVID E
Chief Financial Officer
$1.01M
@ $40.29 · 2025-09-03
KAO GEORGE W
Officer
$1.76M
@ $43.88 · 2025-08-22
LIANG CHARLES
Chief Executive Officer
$12.00M
@ $60.00 · 2025-07-28
LIANG CHARLES
Chief Executive Officer
$13.50M
@ $45.00 · 2025-06-18
WEIGAND DAVID E
Chief Financial Officer
$2.95M
@ $44.02 · 2025-05-20
LIANG CHARLES
Chief Executive Officer
$8.99M
@ $44.95 · 2025-05-14
KAO GEORGE W
Officer
$1.30M
@ $45.86 · 2025-05-14
BLAIR ROBERT L
Director
$828,557
@ $42.58 · 2025-02-28
LIU LIANG CHIU-CHU SARA
Director and Beneficial Owner of more than 10% of a Class of Security
$2.32M
@ $50.17 · 2025-02-26
KAO GEORGE W
Officer
$3.62M
@ $50.48 · 2025-02-26
FAIRFAX DANIEL W
Director
$240,600
@ $802.00 · 2024-06-03
LIU TALLY C
Director
$419,586
@ $839.17 · 2024-05-30
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
V
2
Sells (3M)
22
Sells (12M)
Total value (12M): $105.04M
MCINERNEY RYAN
Chief Executive Officer
$10.70M
@ $340.14 · 2026-04-29
CARNEY LLOYD A
Director
$201,253
@ $309.62 · 2026-03-11
MCINERNEY RYAN
Chief Executive Officer
$3.66M
@ $349.18 · 2026-01-02
MCINERNEY RYAN
Chief Executive Officer
$3.57M
@ $340.07 · 2025-12-11
ROTTENBERG JULIE B
General Counsel
$699,315
@ $345.00 · 2025-12-11
TANEJA RAJAT
Officer
$7.84M
@ $330.14 · 2025-12-02
FABARA PAUL D
Officer
$2.50M
@ $331.45 · 2025-12-02
TANEJA RAJAT
Officer
$2.08M
@ $330.00 · 2025-11-21
FABARA PAUL D
Officer
$707,917
@ $325.93 · 2025-11-21
CARNEY LLOYD A
Director
$302,832
@ $336.48 · 2025-11-04
MCINERNEY RYAN
Chief Executive Officer
$3.58M
@ $341.00 · 2025-11-03
MCINERNEY RYAN
Chief Executive Officer
$3.59M
@ $342.30 · 2025-10-01
MCINERNEY RYAN
Chief Executive Officer
$3.65M
@ $348.57 · 2025-09-02
ROTTENBERG JULIE B
General Counsel
$697,329
@ $344.02 · 2025-08-18
MCINERNEY RYAN
Chief Executive Officer
$3.60M
@ $343.13 · 2025-08-14
MCINERNEY RYAN
Chief Executive Officer
$3.05M
@ $353.82 · 2025-07-01
FABARA PAUL D
Officer
$4.36M
@ $375.00 · 2025-06-11
TANEJA RAJAT
President
$18.44M
@ $368.87 · 2025-06-05
FABARA PAUL D
Officer
$17.10M
@ $370.00 · 2025-06-05
MCINERNEY RYAN
Chief Executive Officer
$3.13M
@ $362.77 · 2025-06-02
FABARA PAUL D
Officer
$6.32M
@ $357.45 · 2025-05-12
FABARA PAUL D
Officer
$5.26M
@ $355.04 · 2025-05-08
MCINERNEY RYAN
Chief Executive Officer
$2.98M
@ $345.58 · 2025-05-01
ROTTENBERG JULIE B
General Counsel
$889,868
@ $345.58 · 2025-05-01
MCINERNEY RYAN
Chief Executive Officer
$3.02M
@ $350.44 · 2025-04-01
FABARA PAUL D
Officer
$13.40M
@ $340.41 · 2025-03-19
FABARA PAUL D
Officer
$12.88M
@ $327.20 · 2025-03-14
MCINERNEY RYAN
Chief Executive Officer
$3.13M
@ $363.00 · 2025-03-03
MAHON TULLIER KELLY
Officer
$11.80M
@ $349.77 · 2025-02-07
ANDRESKI PETER M
Officer
$815,314
@ $349.62 · 2025-02-07
MCINERNEY RYAN
Chief Executive Officer
$2.93M
@ $340.00 · 2025-02-03
ROTTENBERG JULIE B
General Counsel
$874,480
@ $340.00 · 2025-02-03
MCINERNEY RYAN
Chief Executive Officer
$2.74M
@ $317.78 · 2025-01-02
TANEJA RAJAT
Officer
$11.15M
@ $315.55 · 2024-12-13
MCINERNEY RYAN
Chief Executive Officer
$2.73M
@ $316.90 · 2024-12-02
FABARA PAUL D
Officer
$668,603
@ $307.97 · 2024-11-22
MCINERNEY RYAN
Chief Executive Officer
$2.49M
@ $288.49 · 2024-11-01
ROTTENBERG JULIE B
General Counsel
$741,996
@ $288.49 · 2024-11-01
MCINERNEY RYAN
Chief Executive Officer
$2.39M
@ $276.97 · 2024-10-01
MCINERNEY RYAN
Chief Executive Officer
$2.38M
@ $276.37 · 2024-09-03
MCINERNEY RYAN
Chief Executive Officer
$2.37M
@ $275.00 · 2024-08-29
ROTTENBERG JULIE B
General Counsel
$707,300
@ $275.00 · 2024-08-29
MAHON TULLIER KELLY
Officer
$10.12M
@ $267.64 · 2024-08-16
FABARA PAUL D
Officer
$7.01M
@ $277.15 · 2024-05-15
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives

Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.

🎭 Mr. Market's Mood

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SMCI
FearGreed
😨Fear(30/100)

"Market is pessimistic — investigate whether fears are temporary or structural"

Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
V
FearGreed
😐Neutral(57/100)

"Market is pricing this stock without strong emotion in either direction"

Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

⚖️ Buffett Signal

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SMCI
⚪Awaiting DCF Data

The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

DCF Margin of Safety: N/AMr. Market's Mood: Fear (30)
V
⚪Awaiting DCF Data

The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

DCF Margin of Safety: N/AMr. Market's Mood: Neutral (57)
View SMCI Full AnalysisView V Full Analysis
SMCI vs V: Which Is the Better Buy? | SafetyMargin.io