Applied Optoelectronics, Inc. (NASDAQ:AAOI) Receives $79.80 Consensus Target Price from Brokerages

Applied Optoelectronics, Inc. (NASDAQ:AAOI) has been given an average recommendation of “Hold” by the seven research firms that are presently covering the company, Marketbeat reports. One research analyst has rated the stock with a sell rating, three have issued a hold rating and three have given a buy rating to the company. The average 12-month target price among brokerages that have covered the stock in the last year is $79.80.

AAOI has been the subject of a number of analyst reports. Wall Street Zen cut Applied Optoelectronics from a “hold” rating to a “sell” rating in a research report on Monday, April 13th. Northland Securities restated a “market perform” rating and issued a $55.00 price target on shares of Applied Optoelectronics in a research report on Friday, February 27th. Needham & Company LLC upped their price target on Applied Optoelectronics from $43.00 to $80.00 and gave the stock a “buy” rating in a research report on Friday, February 27th. B. Riley Financial upgraded Applied Optoelectronics from a “sell” rating to a “neutral” rating and set a $54.00 price target for the company in a research report on Friday, February 27th. Finally, Raymond James Financial restated an “outperform” rating and issued a $160.00 price target on shares of Applied Optoelectronics in a research report on Friday, May 8th.

Applied Optoelectronics Price Performance

NASDAQ AAOI opened at $177.00 on Friday. The company has a market capitalization of $14.20 billion, a PE ratio of -268.18 and a beta of 3.66. 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 business’s fifty day moving average is $155.32 and its 200 day moving average is $86.58. Applied Optoelectronics has a fifty-two week low of $15.29 and a fifty-two week high of $233.67.

Applied Optoelectronics (NASDAQ:AAOI) last issued its quarterly earnings results on Thursday, May 7th. The semiconductor company reported ($0.07) EPS for the quarter, missing analysts’ consensus estimates of ($0.05) by ($0.02). The company had revenue of $151.14 million during the quarter, compared to analysts’ expectations of $156.98 million. Applied Optoelectronics had a negative return on equity of 4.64% and a negative net margin of 8.55%.The business’s quarterly revenue was up 51.3% compared to the same quarter last year. During the same quarter in the previous year, the company earned ($0.02) EPS. Applied Optoelectronics has set its Q2 2026 guidance at -0.030-0.030 EPS. Sell-side analysts predict that Applied Optoelectronics will post 0.6 earnings per share for the current year.

Insider Transactions at Applied Optoelectronics

In other news, insider Hung-Lun (Fred) Chang sold 36,400 shares of the company’s stock in a transaction dated Monday, March 16th. The stock was sold at an average price of $100.25, for a total value of $3,649,100.00. Following the completion of the transaction, the insider owned 233,618 shares of the company’s stock, valued at $23,420,204.50. This represents a 13.48% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Director Cynthia Delaney sold 56,575 shares of the company’s stock in a transaction dated Tuesday, May 26th. The stock was sold at an average price of $189.23, for a total value of $10,705,687.25. Following the completion of the transaction, the director directly owned 59,647 shares of the company’s stock, valued at approximately $11,287,001.81. This trade represents a 48.68% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 395,068 shares of company stock valued at $59,023,671. 3.80% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Applied Optoelectronics

A number of hedge funds have recently made changes to their positions in the business. NewEdge Advisors LLC bought a new position in shares of Applied Optoelectronics in the first quarter worth about $723,000. BankChampaign National Association bought a new position in shares of Applied Optoelectronics in the first quarter worth about $284,000. Janus Henderson Group PLC boosted its stake in shares of Applied Optoelectronics by 23.2% in the first quarter. Janus Henderson Group PLC now owns 29,755 shares of the semiconductor company’s stock worth $2,518,000 after acquiring an additional 5,600 shares during the period. California State Teachers Retirement System boosted its stake in shares of Applied Optoelectronics by 23.2% in the first quarter. California State Teachers Retirement System now owns 70,464 shares of the semiconductor company’s stock worth $5,961,000 after acquiring an additional 13,265 shares during the period. Finally, Royal Bank of Canada boosted its stake in shares of Applied Optoelectronics by 2,075.3% in the first quarter. Royal Bank of Canada now owns 127,971 shares of the semiconductor company’s stock worth $10,825,000 after acquiring an additional 122,088 shares during the period. Institutional investors 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.