Alpha and Omega Semiconductor (NASDAQ:AOSL) Trading Down 7.3% – Should You Sell?

Alpha and Omega Semiconductor Limited (NASDAQ:AOSL) fell 7.3% during mid-day trading on Tuesday . The stock traded as low as $40.65 and last traded at $40.9640. 292,585 shares were traded during mid-day trading, a decline of 55% from the average session volume of 644,343 shares. The stock had previously closed at $44.20.

Analyst Ratings Changes

A number of equities analysts have recently commented on AOSL shares. B. Riley Financial lifted their price target on shares of Alpha and Omega Semiconductor from $19.00 to $25.00 and gave the stock a “neutral” rating in a report on Monday, April 13th. Zacks Research raised Alpha and Omega Semiconductor from a “strong sell” rating to a “hold” rating in a report on Monday, April 6th. Weiss Ratings reiterated a “sell (d-)” rating on shares of Alpha and Omega Semiconductor in a research report on Monday, April 20th. Wall Street Zen cut Alpha and Omega Semiconductor from a “hold” rating to a “sell” rating in a report on Saturday. Finally, Needham & Company LLC initiated coverage on shares of Alpha and Omega Semiconductor in a research report on Friday, May 1st. They set a “buy” rating and a $50.00 target price for the company. Two research analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average price target of $30.50.

Alpha and Omega Semiconductor Stock Performance

The firm’s 50 day moving average price is $37.26 and its two-hundred day moving average price is $26.91. The company has a market cap of $1.21 billion, a P/E ratio of -11.34 and a beta of 2.55.

Alpha and Omega Semiconductor (NASDAQ:AOSL) last posted its quarterly earnings results on Wednesday, May 6th. The semiconductor company reported ($0.28) EPS for the quarter, topping analysts’ consensus estimates of ($0.34) by $0.06. Alpha and Omega Semiconductor had a negative net margin of 15.51% and a negative return on equity of 4.30%. The business had revenue of $163.79 million during the quarter, compared to analysts’ expectations of $160.07 million. During the same period last year, the company posted ($0.10) earnings per share. The business’s quarterly revenue was down .5% on a year-over-year basis. As a group, analysts forecast that Alpha and Omega Semiconductor Limited will post -1.5 EPS for the current fiscal year.

Insider Buying and Selling

In other Alpha and Omega Semiconductor news, EVP Bing Xue sold 2,408 shares of the stock in a transaction that occurred on Monday, March 16th. The stock was sold at an average price of $21.92, for a total value of $52,783.36. Following the transaction, the executive vice president owned 113,631 shares in the company, valued at approximately $2,490,791.52. This represents a 2.08% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO Yifan Liang sold 26,517 shares of the business’s stock in a transaction that occurred on Tuesday, April 14th. The shares were sold at an average price of $30.57, for a total value of $810,624.69. Following the sale, the chief financial officer owned 278,628 shares of the company’s stock, valued at approximately $8,517,657.96. This represents a 8.69% decrease in their position. 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 three months, insiders have sold 59,860 shares of company stock valued at $1,913,960. 16.70% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in AOSL. Weber Capital Management LLC ADV purchased a new stake in shares of Alpha and Omega Semiconductor in the fourth quarter valued at about $10,842,000. JPMorgan Chase & Co. boosted its stake in shares of Alpha and Omega Semiconductor by 72.4% in the 3rd quarter. JPMorgan Chase & Co. now owns 158,844 shares of the semiconductor company’s stock worth $4,441,000 after buying an additional 66,723 shares during the last quarter. Acuitas Investments LLC boosted its stake in shares of Alpha and Omega Semiconductor by 38.6% in the 3rd quarter. Acuitas Investments LLC now owns 240,920 shares of the semiconductor company’s stock worth $6,736,000 after buying an additional 67,100 shares during the last quarter. Massachusetts Financial Services Co. MA bought a new position in shares of Alpha and Omega Semiconductor in the fourth quarter valued at approximately $563,000. Finally, UBS Group AG increased its position in shares of Alpha and Omega Semiconductor by 224.7% during the fourth quarter. UBS Group AG now owns 217,121 shares of the semiconductor company’s stock valued at $4,301,000 after acquiring an additional 150,254 shares during the last quarter. 78.97% of the stock is currently owned by institutional investors and hedge funds.

About Alpha and Omega Semiconductor

Alpha and Omega Semiconductor Limited (NASDAQ: AOSL) is a designer and supplier of power semiconductor components used in power management applications across a range of electronic systems. The company offers a broad portfolio of discrete and integrated power devices, including power MOSFETs, rectifiers, voltage regulators, and power management ICs. These products are optimized for high efficiency, compact form factors and thermal performance, catering to the growing demands of energy-sensitive applications in computing, consumer electronics, communications and industrial markets.

Since its founding in 2000, Alpha and Omega Semiconductor has leveraged in-house design expertise and strategic partnerships with manufacturing facilities to deliver scalable, high-volume production.