SMCI--TAM and Moat ????

 

Just some facts about SMCI. I am not making any recommendations here, I may be very wrong.

 

First,  the TAM??? The street think the AI relative server and storage market will grow at least 50%  in next 3 years, and SMCI is and will continue to gain shares.

Second, the moat??? 1) It builds "plug and play" server, like lego, very  scalable and flexible; 2) It has liquidy cooling systme--very important for large server farm; 3) it has build internal vertical supply chain. Therefore, their response time to new NVDA type of chips and market needs is much shorter than their competitoer, who are basicaly just OEMs. 4) most of the OEMs just have serveral standard models. But SMCI is able to meet clients unique needs. NOt "one shoe for all", they can build a unique shoe for unique client's needs.

Third CEO's options. have very high bar to clean, in terms of revenue and stock price.