[Goldman Sachs: SMCI Revenue Exceeds Guidance by 27%, Valuation Near Target Price] Deep Tide TechFlow, citing Tide Research, reported that Goldman Sachs' research note on October 20, 2026, stated that SMCI's preliminary Q1 revenue announcement is between $18.5 billion and $19.5 billion, compared to the original guidance of $14.5 billion to $15.5 billion, with the midpoint approximately 27% higher. Gross margin is expected to be between 12% and 12.5%, compared to the original guidance of 10.4% to 10.8%, with the midpoint 165 basis points higher. The "Sell" rating is maintained, with a target price of $34, which is 4.7% higher than the October 20 closing price of $32.47. Goldman Sachs believes that strong demand for AI platforms and a favorable customer product mix have driven revenue and gross margin to exceed expectations. However, the valuation is already near the target price, limiting further upside for the stock. SMCI mentioned in the previous quarter that its cash conversion cycle is 149 days, and external financing may be required if revenue exceeds $80 billion. The full-year guidance and financing arrangements to be discussed during the November 3 earnings call are key points to watch moving forward.