Applied Optoelectronics, Inc. (NASDAQ:AAOI) Given Consensus Recommendation of “Hold” by Analysts

Applied Optoelectronics, Inc. (NASDAQ:AAOI) has earned an average recommendation of “Hold” from the six analysts that are covering the stock, MarketBeat.com reports. One research analyst has rated the stock with a sell rating, two have assigned a hold rating and three have issued a buy rating on the company. The average 12 month target price among brokers that have issued ratings on the stock in the last year is $139.40.

A number of equities analysts have weighed in on AAOI shares. Wall Street Zen raised shares of Applied Optoelectronics from a “sell” rating to a “hold” rating in a research report on Saturday, August 8th. Rosenblatt Securities reissued a “buy” rating and set a $220.00 target price on shares of Applied Optoelectronics in a report on Friday, August 7th. Weiss Ratings downgraded Applied Optoelectronics from a “sell (d-)” rating to a “sell (e+)” rating in a report on Monday, August 17th. B. Riley Financial reissued a “neutral” rating on shares of Applied Optoelectronics in a research note on Friday, August 7th. Finally, Needham & Company LLC decreased their price target on Applied Optoelectronics from $220.00 to $190.00 and set a “buy” rating for the company in a research note on Friday, August 7th.

Applied Optoelectronics Trading Down 9.1%

Shares of AAOI opened at $95.76 on Tuesday. Applied Optoelectronics has a 12 month low of $18.50 and a 12 month high of $233.67. The stock’s 50-day moving average is $113.88 and its two-hundred day moving average is $132.19. The company has a debt-to-equity ratio of 0.12, a current ratio of 2.78 and a quick ratio of 2.13. The stock has a market cap of $8.10 billion, a PE ratio of -122.77 and a beta of 3.79.

Applied Optoelectronics (NASDAQ:AAOI) last released its quarterly earnings results on Thursday, August 6th. The semiconductor company reported $0.06 EPS for the quarter, topping the consensus estimate of $0.02 by $0.04. The firm had revenue of $191.92 million for the quarter, compared to analyst estimates of $190.48 million. Applied Optoelectronics had a negative return on equity of 1.98% and a negative net margin of 9.57%.Applied Optoelectronics’s revenue for the quarter was up 86.3% on a year-over-year basis. During the same period in the previous year, the company posted ($0.16) EPS. Applied Optoelectronics has set its Q3 2026 guidance at 0.110-0.260 EPS. Equities analysts forecast that Applied Optoelectronics will post 0.55 earnings per share for the current fiscal year.

Insider Transactions at Applied Optoelectronics

In related news, insider Hung-Lun Chang sold 32,172 shares of the firm’s stock in a transaction that occurred on Tuesday, September 8th. The shares were sold at an average price of $110.21, for a total transaction of $3,545,676.12. Following the completion of the sale, the insider directly owned 249,276 shares in the company, valued at approximately $27,472,707.96. This trade represents a 11.43% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, CFO Stefan J. Murry sold 4,000 shares of the firm’s stock in a transaction on Thursday, September 10th. The stock was sold at an average price of $105.33, for a total value of $421,320.00. Following the sale, the chief financial officer directly owned 367,168 shares of the company’s stock, valued at approximately $38,673,805.44. This represents a 1.08% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders have sold 98,501 shares of company stock valued at $14,003,877. Corporate insiders own 3.80% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the company. California State Teachers Retirement System lifted its position in Applied Optoelectronics by 17,896.9% in the 2nd quarter. California State Teachers Retirement System now owns 12,681,311 shares of the semiconductor company’s stock worth $1,878,863,000 after buying an additional 12,610,847 shares in the last quarter. BlackRock Inc. bought a new stake in shares of Applied Optoelectronics during the 2nd quarter worth about $955,672,000. Vanguard Group Inc. boosted its position in Applied Optoelectronics by 7.7% during the fourth quarter. Vanguard Group Inc. now owns 4,982,660 shares of the semiconductor company’s stock worth $173,696,000 after purchasing an additional 358,090 shares during the period. William Blair Investment Management LLC acquired a new position in Applied Optoelectronics during the second quarter valued at approximately $74,703,000. Finally, Renaissance Technologies LLC bought a new position in shares of Applied Optoelectronics in the first quarter valued at approximately $47,817,000. 61.70% of the stock is owned by hedge funds and other institutional investors.

Applied Optoelectronics Company Profile

Applied Optoelectronics, Inc develops and manufactures fiber-optic networking products and components. Its offerings include optical transceivers, transponders, modules and related equipment used to transmit data over fiber-optic networks.

The company serves several communications markets, including data centers, telecommunications, broadband access and cable television. Its products support applications such as high-speed data transmission, cloud computing, network infrastructure and fiber-based broadband services.

Founded in 1997 and headquartered in Sugar Land, Texas, Applied Optoelectronics serves customers in North America, Asia and other international markets.