Super Micro trades lower after S&P 500 debut

Super Micro (SMCI) and Deckers Outdoor (DECK) made their debut on the S&P 500 (^GSPC) on Monday. While Deckers Outdoor has remained steady throughout the day, Super Micro has dipped over 7% since the market opened, in contrast with other AI tech stocks in the green heading into the Nvidia (NVDA) GTC event.

Yahoo Finance Anchors Madison Mills and Josh Lipton provide context for Super Micro's opening stall.

For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.

Editor's note: This article was written by Nicholas Jacobino

Video Transcript

JOSH LIPTON: Supermicro computers and deckers outdoor make their S&P 500 debuts, shares of Supermicro computer giving us-- giving up earlier gains in the trading day. I think it's just about the only thing these two names have in common. I think Madi but Supermicro so listen the shares were-- I mean, you can see they're in the red today. But the maker of servers of course, you got to pull back the chart on this one.

Because it's been a monster investors. We have been so hungry to try to play AI different ways and they look to NVIDIA or Broadcom or AMD. And Supermicro has been another one they have moved hard into. It's about 240% already this year. It's up about 900% over the past 12 months Madi.

MADISON MILLS: Well, it's really interesting to me to see MCI performing so poorly today given that they as you mentioned, have had such a stellar year. They're up 12 fold over the course of the year. And Nvidia which we always talk about, their growth up only four fold in that same time period. So just really on a tear there. But we do have a history of companies joining the S&P 500 and then having a little bit of a stall after they do join here. So it's not incredibly surprising.

But it is interesting, particularly given that we are heading into this Nvidia Developers Conference that you would see a name like this struggling that is so tied to Nvidia's performance. So we'll have to see.

JOSH LIPTON: And deckers outdoor by the way, I get it not quite as buzzy as AI, the maker of boots.

MADISON MILLS: Yes.

JOSH LIPTON: Yeah. But I have been sleeping on deckers outdoor. That stock is up 120% over the past 12 months.

MADISON MILLS: Well, this is Uggs, this is Hoka shoes and we've seen these direct to consumer brands really performing super well in comparison to the Nike's of the world that we talked about.

JOSH LIPTON: Look at that chart.

MADISON MILLS: It's true. Look at this chart, incredible performance here.