AXT (NASDAQ:AXTI) Stock Price Down 9.2% Following Insider Selling

AXT Inc (NASDAQ:AXTI)’s share price dropped 9.2% during mid-day trading on Wednesday after an insider sold shares in the company. The stock traded as low as $76.05 and last traded at $74.7140. 4,792,425 shares were traded during mid-day trading, a decline of 54% from the average daily volume of 10,461,904 shares. The stock had previously closed at $82.31.

Specifically, Director Leonard J. Leblanc sold 4,000 shares of the stock in a transaction on Monday, August 17th. The stock was sold at an average price of $96.07, for a total value of $384,280.00. Following the sale, the director directly owned 113,129 shares of the company’s stock, valued at $10,868,303.03. This trade represents a 3.42% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, Director Leonard J. Leblanc sold 2,000 shares of the stock in a transaction on Friday, August 7th. The stock was sold at an average price of $88.31, for a total value of $176,620.00. Following the completion of the transaction, the director directly owned 117,129 shares of the company’s stock, valued at approximately $10,343,661.99. The trade was a 1.68% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In other news, Director Leonard J. Leblanc sold 500 shares of the business’s stock in a transaction on Wednesday, June 10th. The stock was sold at an average price of $89.59, for a total value of $44,795.00. Following the sale, the director owned 119,129 shares of the company’s stock, valued at approximately $10,672,767.11. The trade was a 0.42% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link.

Wall Street Analysts Forecast Growth

A number of analysts have commented on the stock. B. Riley Financial reduced their price objective on shares of AXT from $73.00 to $52.00 and set a “neutral” rating for the company in a research note on Tuesday, July 28th. Needham & Company LLC raised AXT from a “hold” rating to a “buy” rating and set a $90.00 price target for the company in a research note on Friday, July 31st. Weiss Ratings raised shares of AXT from a “sell (d-)” rating to a “sell (d+)” rating in a research report on Friday, August 14th. Northland Securities set a $125.00 price target on shares of AXT in a research report on Wednesday, June 3rd. Finally, Zacks Research raised AXT from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, August 11th. One investment analyst has rated the stock with a Strong Buy rating, three have given a Buy rating, one has issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, AXT has an average rating of “Moderate Buy” and a consensus price target of $77.00.

AXT News Summary

Here are the key news stories impacting AXT this week:

• Positive Sentiment: AXT’s indium phosphide (InP) business is showing strong momentum, with record revenue, a backlog exceeding $100 million and planned capacity expansion. Demand from AI data centers and optical networking could provide a multiyear growth opportunity. AXT’s InP Demand Is Surging: Can It Become a Long-Term Growth Driver?
• Positive Sentiment: Reports that indium phosphide supply is tightening, alongside new AI-related deals, have supported the bullish view that AXT may benefit from rising demand for optical components used in high-speed data centers. Why AXT Is Up 11.6% After Indium Phosphide Supply Tightens Amid New AI Deals
• Neutral Sentiment: AXT’s latest quarterly results were materially better than expected, with earnings per share of $0.19 versus a $0.07 consensus estimate and revenue of $47.59 million versus $34.08 million. Management guided to third-quarter 2026 EPS of $0.30-$0.32, though the stock’s exceptionally high valuation leaves limited room for disappointment.
• Neutral Sentiment: Analyst opinion remains mixed but leans positive: AXT has a consensus “Moderate Buy” rating and an average price target of $77, while price targets range from $52 to $125. A Tradr ETF including AXT could improve visibility and investor access, but its direct fundamental impact is uncertain.
• Negative Sentiment: AXTI has faced a broader selloff in optics and AI-hardware shares as investors reassess the pace of AI spending and lock in gains after the sector’s major rally. This risk-off environment is currently outweighing the company’s favorable InP outlook. Optics Stocks Drop on Anthropic News
• Negative Sentiment: Director Leonard Leblanc has repeatedly reduced his stake, selling 4,000 shares on August 17 for about $384,280, 2,000 shares on August 7 and 500 shares in June. Although he still owns more than 113,000 shares, the pattern may weigh modestly on investor sentiment. Insider Selling: AXT Director Sells Shares

AXT Trading Down 0.4%

The company has a 50 day moving average price of $67.75 and a 200 day moving average price of $67.64. The company has a market capitalization of $4.79 billion, a price-to-earnings ratio of 3,656.00 and a beta of 1.90.

AXT (NASDAQ:AXTI) last announced its quarterly earnings results on Thursday, July 30th. The semiconductor company reported $0.19 EPS for the quarter, beating analysts’ consensus estimates of $0.07 by $0.12. AXT had a return on equity of 0.96% and a net margin of 3.23%.The company had revenue of $47.59 million during the quarter, compared to analysts’ expectations of $34.08 million. AXT has set its Q3 2026 guidance at 0.300-0.320 EPS. Equities analysts predict that AXT Inc will post 0.8 earnings per share for the current year.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of AXTI. American Capital Advisory LLC bought a new stake in shares of AXT during the 1st quarter valued at $27,000. Kohmann Bosshard Financial Services LLC bought a new position in shares of AXT in the first quarter worth $31,000. XTX Topco Ltd bought a new position in shares of AXT in the second quarter worth $42,000. Jefferies Financial Group Inc. acquired a new position in AXT in the third quarter valued at about $52,000. Finally, Global Retirement Partners LLC acquired a new position in AXT in the second quarter valued at about $55,000. Institutional investors and hedge funds own 49.52% of the company’s stock.

AXT Company Profile

AXT, Inc (NASDAQ: AXTI) is a global supplier of compound and single-element semiconductor substrates, offering a range of materials critical for high-performance electronic and optoelectronic devices. Founded in 1986 and headquartered in Fremont, California, AXT specializes in the development, manufacture and distribution of wafers composed of gallium arsenide (GaAs), indium phosphide (InP), gallium nitride (GaN) and other compound semiconductor materials. These substrates serve as the foundational platforms for devices used in data communications, wireless infrastructure, advanced computing, consumer electronics and photovoltaic applications.

AXT’s product portfolio encompasses a variety of wafer sizes, dopant concentrations and crystal orientations, tailored to meet the precise specifications of its customers.