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Q2 Rundown: Super Micro (NASDAQ:SMCI) Vs Other Hardware & Infrastructure Stocks

By: StockStory

October 05, 2025 at 23:31 PM EDT

SMCI Cover Image

Looking back on hardware & infrastructure stocks’ Q2 earnings, we examine this quarter’s best and worst performers, including Super Micro (NASDAQ: SMCI) and its peers.

The Hardware & Infrastructure sector will be buoyed by demand related to AI adoption, cloud computing expansion, and the need for more efficient data storage and processing solutions. Companies with tech offerings such as servers, switches, and storage solutions are well-positioned in our new hybrid working and IT world. On the other hand, headwinds include ongoing supply chain disruptions, rising component costs, and intensifying competition from cloud-native and hyperscale providers reducing reliance on traditional hardware. Additionally, regulatory scrutiny over data sovereignty, cybersecurity standards, and environmental sustainability in hardware manufacturing could increase compliance costs.

The 9 hardware & infrastructure stocks we track reported a mixed Q2. As a group, revenues beat analysts’ consensus estimates by 3.8% while next quarter’s revenue guidance was in line.

Luckily, hardware & infrastructure stocks have performed well with share prices up 11.3% on average since the latest earnings results.

Super Micro (NASDAQ: SMCI)

Founded in Silicon Valley in 1993 and known for its modular "building block" approach to server design, Super Micro Computer (NASDAQ: SMCI) designs and manufactures high-performance, energy-efficient server and storage systems for data centers, cloud computing, AI, and edge computing applications.

Super Micro reported revenues of $5.76 billion, up 7.5% year on year. This print fell short of analysts’ expectations by 4.2%. Overall, it was a slower quarter for the company with a significant miss of analysts’ operating income estimates.

Super Micro scored the highest full-year guidance raise but had the weakest performance against analyst estimates of the whole group. Still, the market seems discontent with the results. The stock is down 42.9% since reporting and currently trades at $51.78.

Is now the time to buy Super Micro? Access our full analysis of the earnings results here, it’s free for active Edge members.

Best Q2: Pure Storage (NYSE: PSTG)

Founded in 2009 as a pioneer in enterprise all-flash storage technology, Pure Storage (NYSE: PSTG) provides all-flash data storage hardware and software that helps organizations manage their data more efficiently across on-premises and cloud environments.

Pure Storage reported revenues of $861 million, up 12.7% year on year, outperforming analysts’ expectations by 1.7%. The business had a very strong quarter with an impressive beat of analysts’ billings estimates and a beat of analysts’ EPS estimates.

The market seems happy with the results as the stock is up 42.9% since reporting. It currently trades at $87.

Is now the time to buy Pure Storage? Access our full analysis of the earnings results here, it’s free for active Edge members.

Weakest Q2: Xerox (NASDAQ: XRX)

Pioneering the modern office copier and inventing technologies like Ethernet and the laser printer, Xerox (NASDAQ: XRX) provides document management systems, printing technology, and workplace solutions to businesses of all sizes across the globe.

Xerox reported revenues of $1.58 billion, flat year on year, exceeding analysts’ expectations by 1.6%. Still, it was a softer quarter as it posted a significant miss of analysts’ EPS estimates.

As expected, the stock is down 28.2% since the results and currently trades at $3.75.

Read our full analysis of Xerox’s results here.

HP (NYSE: HPQ)

Born from the legendary Silicon Valley garage startup founded by Bill Hewlett and Dave Packard in 1939, HP (NYSE: HPQ) designs and sells personal computers, printers, and related technology products and services to consumers, businesses, and enterprises worldwide.

HP reported revenues of $13.93 billion, up 3.1% year on year. This result surpassed analysts’ expectations by 1.2%. More broadly, it was a mixed quarter as it also logged EPS guidance for next quarter in line with analysts’ estimates.

The stock is down 1.7% since reporting and currently trades at $26.69.

Read our full, actionable report on HP here, it’s free for active Edge members.

Hewlett Packard Enterprise (NYSE: HPE)

Born from the 2015 split of the iconic Silicon Valley pioneer Hewlett-Packard, Hewlett Packard Enterprise (NYSE: HPE) provides edge-to-cloud technology solutions that help businesses capture, analyze, and act upon their data across hybrid IT environments.

Hewlett Packard Enterprise reported revenues of $9.14 billion, up 18.5% year on year. This print topped analysts’ expectations by 6.5%. Overall, it was a strong quarter as it also logged an impressive beat of analysts’ ARR and EPS estimates.

The stock is up 6.9% since reporting and currently trades at $24.43.

Read our full, actionable report on Hewlett Packard Enterprise here, it’s free for active Edge members.

Market Update

Thanks to the Fed’s series of rate hikes in 2022 and 2023, inflation has cooled significantly from its post-pandemic highs, drawing closer to the 2% goal. This disinflation has occurred without severely impacting economic growth, suggesting the success of a soft landing. The stock market thrived in 2024, spurred by recent rate cuts (0.5% in September and 0.25% in November), and a notable surge followed Donald Trump’s presidential election win in November, propelling indices to historic highs. Nonetheless, the outlook for 2025 remains clouded by potential trade policy changes and corporate tax discussions, which could impact business confidence and growth. The path forward holds both optimism and caution as new policies take shape.

Want to invest in winners with rock-solid fundamentals? Check out our Top 6 Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.

StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.

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