Pure Storage Inc (PSTG)vsSuper Micro Computer Inc (SMCI)
PSTG
Pure Storage Inc
$62.63
-4.31%
TECHNOLOGY · Cap: $20.75B
SMCI
Super Micro Computer Inc
$20.53
-33.32%
TECHNOLOGY · Cap: $19.13B
Smart Verdict
WallStSmart Research — data-driven comparison
Super Micro Computer Inc generates 666% more annual revenue ($28.06B vs $3.66B). PSTG leads profitability with a 5.1% profit margin vs 3.1%. SMCI appears more attractively valued with a PEG of 0.91. SMCI earns a higher WallStSmart Score of 67/100 (B-).
PSTG
Buy59
out of 100
Grade: C
SMCI
Strong Buy67
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-195.4%
Fair Value
$25.74
Current Price
$62.63
$36.89 premium
Margin of Safety
+37.7%
Fair Value
$51.40
Current Price
$20.53
$30.87 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 140.6% YoY
Revenue surging 20.4% year-over-year
Revenue surging 123.4% year-over-year
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Reasonable price relative to book value
Areas to Watch
Trading at 14.3x book value
5.1% margin — thin
Premium valuation, high expectations priced in
Distress zone — elevated risk
3.1% margin — thin
Operating margin of 3.7%
Weak financial health signals
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : PSTG
The strongest argument for PSTG centers on EPS Growth, Revenue Growth. Revenue growth of 20.4% demonstrates continued momentum. PEG of 1.49 suggests the stock is reasonably priced for its growth.
Bull Case : SMCI
The strongest argument for SMCI centers on Revenue Growth, Altman Z-Score, PEG Ratio. Revenue growth of 123.4% demonstrates continued momentum. PEG of 0.91 suggests the stock is reasonably priced for its growth.
Bear Case : PSTG
The primary concerns for PSTG are Price/Book, Profit Margin, P/E Ratio. A P/E of 114.3x leaves little room for execution misses.
Bear Case : SMCI
The primary concerns for SMCI are Profit Margin, Operating Margin, Piotroski F-Score. Thin 3.1% margins leave little buffer for downturns.
Key Dynamics to Monitor
PSTG profiles as a growth stock while SMCI is a hypergrowth play — different risk/reward profiles.
SMCI carries more volatility with a beta of 1.49 — expect wider price swings.
SMCI is growing revenue faster at 123.4% — sustainability is the question.
PSTG generates stronger free cash flow (201M), providing more financial flexibility.
Bottom Line
SMCI scores higher overall (67/100 vs 59/100) and 123.4% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Pure Storage Inc
TECHNOLOGY · COMPUTER HARDWARE · USA
Pure Storage, Inc. provides data storage technology and solutions in the United States and internationally. The company is headquartered in Mountain View, California.
Super Micro Computer Inc
TECHNOLOGY · COMPUTER HARDWARE · USA
Super Micro Computer, Inc. develops and manufactures high-performance server and storage solutions based on an open, modular architecture. The company is headquartered in San Jose, California.
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