Applied Optoelectronics (NASDAQ:AAOI) Sets New 1-Year High – Here’s What Happened
by Doug Wharley · The Cerbat GemApplied Optoelectronics, Inc. (NASDAQ:AAOI – Get Free Report)’s stock price hit a new 52-week high during mid-day trading on Tuesday . The company traded as high as $197.88 and last traded at $197.1080, with a volume of 2056491 shares trading hands. The stock had previously closed at $184.90.
Applied Optoelectronics News Summary
Here are the key news stories impacting Applied Optoelectronics this week:
- Positive Sentiment: Rosenblatt raised its price target on Applied Optoelectronics, reinforcing bullish sentiment after the stock’s strong run and helping fuel the latest move higher. Rosenblatt Raises PT on Applied Optoelectronics (AAOI) to $220 As Shares Reach All-Time High
- Positive Sentiment: Applied Optoelectronics announced it is working with Mediacom on DOCSIS 4.0 and fiber/coax network upgrades, a sign of continued demand for its optical networking products and a potentially meaningful customer win. Mediacom Advances Its DOCSIS 4.0 Network Upgrades Plans With AOI Quantum Bandwidth
- Positive Sentiment: Coverage notes that analysts remain broadly bullish after recent results, suggesting investors are focusing more on growth in AI-related optical infrastructure than on the company’s still-mixed profitability. Applied Optoelectronics, Inc. (NASDAQ:AAOI) Analysts Are Pretty Bullish On The Stock After Recent Results
- Neutral Sentiment: Commentary also points to AAOI benefiting from a broader Nasdaq tech and optical-networking rally, which is amplifying the stock’s momentum alongside peers. Applied Optoelectronics Rips 24%, Lumentum Jumps 17%, Coherent Rallies 13% as Optics Trade Catches Fire
Analyst Upgrades and Downgrades
Several equities analysts have issued reports on the stock. Northland Securities reaffirmed a “market perform” rating and set a $55.00 price objective on shares of Applied Optoelectronics in a report on Friday, February 27th. Needham & Company LLC increased their price objective on shares of Applied Optoelectronics from $43.00 to $80.00 and gave the company a “buy” rating in a report on Friday, February 27th. Rosenblatt Securities restated a “buy” rating and set a $50.00 target price on shares of Applied Optoelectronics in a report on Thursday, February 19th. B. Riley Financial raised Applied Optoelectronics from a “sell” rating to a “neutral” rating and set a $54.00 target price for the company in a research note on Friday, February 27th. Finally, Weiss Ratings reiterated a “sell (d-)” rating on shares of Applied Optoelectronics in a report on Wednesday, January 21st. Three investment analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Hold” and a consensus target price of $79.80.
View Our Latest Stock Report on AAOI
Applied Optoelectronics Trading Up 1.8%
The firm has a market capitalization of $15.11 billion, a PE ratio of -281.41 and a beta of 3.76. The company has a debt-to-equity ratio of 0.18, a quick ratio of 3.03 and a current ratio of 3.83. The company’s 50-day moving average price is $124.01 and its 200-day moving average price is $66.43.
Applied Optoelectronics (NASDAQ:AAOI – Get Free Report) last announced its quarterly earnings results on Thursday, May 7th. The semiconductor company reported ($0.07) EPS for the quarter, missing the consensus estimate of ($0.05) by ($0.02). Applied Optoelectronics had a negative return on equity of 4.64% and a negative net margin of 8.55%.The company had revenue of $151.14 million for the quarter, compared to analyst estimates of $156.98 million. During the same quarter in the prior year, the business earned ($0.02) earnings per share. Applied Optoelectronics’s revenue was up 51.3% compared to the same quarter last year. Applied Optoelectronics has set its Q2 2026 guidance at -0.030-0.030 EPS. On average, sell-side analysts expect that Applied Optoelectronics, Inc. will post 0.66 earnings per share for the current year.
Insider Buying and Selling at Applied Optoelectronics
In other news, insider Shu-Hua (Joshua) Yeh sold 50,000 shares of Applied Optoelectronics stock in a transaction that occurred on Monday, March 9th. The shares were sold at an average price of $97.10, for a total transaction of $4,855,000.00. Following the completion of the sale, the insider directly owned 322,051 shares in the company, valued at approximately $31,271,152.10. This trade represents a 13.44% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Elizabeth G. Loboa sold 102,347 shares of Applied Optoelectronics stock in a transaction on Tuesday, March 3rd. The stock was sold at an average price of $95.76, for a total value of $9,800,748.72. Following the transaction, the director directly owned 20,523 shares of the company’s stock, valued at $1,965,282.48. This trade represents a 83.30% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders sold 305,473 shares of company stock valued at $28,824,358. Insiders own 3.80% of the company’s stock.
Institutional Inflows and Outflows
Several institutional investors have recently added to or reduced their stakes in AAOI. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its stake in Applied Optoelectronics by 10.4% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 25,579 shares of the semiconductor company’s stock worth $393,000 after acquiring an additional 2,415 shares during the period. Cetera Investment Advisers acquired a new stake in Applied Optoelectronics in the second quarter valued at approximately $377,000. New York State Common Retirement Fund increased its stake in Applied Optoelectronics by 36.0% during the 2nd quarter. New York State Common Retirement Fund now owns 17,000 shares of the semiconductor company’s stock worth $437,000 after buying an additional 4,500 shares during the period. Invesco Ltd. boosted its holdings in Applied Optoelectronics by 50.0% in the second quarter. Invesco Ltd. now owns 60,817 shares of the semiconductor company’s stock valued at $1,562,000 after purchasing an additional 20,261 shares during the last quarter. Finally, First Trust Advisors LP acquired a new stake in Applied Optoelectronics in the second quarter valued at $952,000. Institutional investors and hedge funds own 61.70% of the company’s stock.
Applied Optoelectronics Company Profile
Applied Optoelectronics, Inc develops and manufactures high-speed fiber-optic networking products designed to support the growing bandwidth demands of data centers, telecommunications carriers and internet content providers. The company’s core offerings include pluggable optical transceiver modules, transponders and optical components that enable data transmission at rates ranging from 1G to 400G. These products are used to facilitate long-haul, metro and intra-data center connectivity, addressing the need for scalable, low-latency and energy-efficient solutions in modern network infrastructures.
The company’s product portfolio spans small-form factor pluggable modules such as SFP+, QSFP+ and QSFP28 units, as well as more advanced form factors like CFP2 and OSFP for ultra-high-speed applications.