Top and Bottom Performers in the S&P 500 Last Week
Top Performer: Super Micro Computer, Inc. (SMCI)
Weekly Gain: +44%
Current Price: $46.15
Market Cap: $23.2 billion
What Super Micro Does
Super Micro Computer, Inc. specializes in designing and manufacturing high-performance server and storage solutions. The company is a key player in providing infrastructure for data centers, cloud computing, and artificial intelligence (AI) applications.
Key Revenue Drivers
AI-Optimized Servers: Super Micro's servers are tailored for AI workloads, making them essential for companies investing in AI infrastructure.
Data Center Solutions: The company offers a range of products for data centers, including server building blocks and storage systems.
Partnerships with Chipmakers: Collaborations with companies like Nvidia provide Super Micro with access to cutting-edge GPUs, enhancing their server capabilities.
Why It Surged
Super Micro's stock soared after announcing a $20 billion deal with Saudi Arabian data center company DataVolt. This agreement involves the expedited delivery of dense GPU platforms and rack systems, positioning Super Micro as a significant supplier in the AI infrastructure space.
Bottom Performer: UnitedHealth Group Incorporated (UNH)
Weekly Loss: -23.3%
Current Price: $291.91
Market Cap: $270 billion
What UnitedHealth Does
UnitedHealth Group is a diversified healthcare company offering a broad spectrum of health care products and services. It operates through two main platforms: UnitedHealthcare, providing health care coverage and benefits services, and Optum, offering information and technology-enabled health services.
Key Revenue Drivers
Health Insurance Premiums: Revenue from providing health insurance plans to individuals and employers.
Healthcare Services: Income from Optum's health services, including pharmacy care services, data analytics, and health care delivery.
Medicare Advantage Plans: Significant revenue from offering Medicare Advantage plans to eligible individuals.
Why It Dropped
UnitedHealth's stock plummeted due to multiple compounding issues. The company withdrew its 2025 earnings guidance and announced the resignation of CEO Andrew Witty, citing rising medical costs. Additionally, reports emerged of a U.S. Department of Justice criminal investigation into potential Medicare fraud, further shaking investor confidence. These developments led to a significant sell-off, marking one of the worst performances for the stock in recent history.