Applied Optoelectronics (NASDAQ:AAOI) Shares Gap Up – What’s Next?

Applied Optoelectronics, Inc. (NASDAQ:AAOI) shares gapped up before the market opened on Wednesday . The stock had previously closed at $32.11, but opened at $33.06. Applied Optoelectronics shares last traded at $34.19, with a volume of 736,653 shares changing hands.

Wall Street Analysts Forecast Growth

A number of research firms have weighed in on AAOI. Northland Securities reiterated an “outperform” rating and issued a $40.00 target price (up previously from $25.00) on shares of Applied Optoelectronics in a research note on Wednesday. B. Riley downgraded shares of Applied Optoelectronics from a “neutral” rating to a “sell” rating and set a $14.00 target price on the stock. in a research note on Tuesday, December 10th. Raymond James boosted their price target on Applied Optoelectronics from $17.00 to $23.00 and gave the company an “outperform” rating in a report on Friday, November 8th. StockNews.com upgraded Applied Optoelectronics to a “sell” rating in a report on Friday, October 25th. Finally, Rosenblatt Securities increased their price target on Applied Optoelectronics from $27.50 to $44.00 and gave the stock a “buy” rating in a research report on Friday, December 13th. Two investment analysts have rated the stock with a sell rating, one has assigned a hold rating and three have issued a buy rating to the company. Based on data from MarketBeat.com, Applied Optoelectronics has an average rating of “Hold” and a consensus target price of $26.00.

Applied Optoelectronics Stock Up 17.2 %

The company’s 50-day moving average is $26.76 and its 200 day moving average is $16.22. The stock has a market capitalization of $1.70 billion, a PE ratio of -16.69 and a beta of 2.37. The company has a current ratio of 1.61, a quick ratio of 1.06 and a debt-to-equity ratio of 0.36.

Insiders Place Their Bets

In related news, insider Hung-Lun (Fred) Chang sold 20,323 shares of the firm’s stock in a transaction dated Wednesday, November 20th. The shares were sold at an average price of $30.35, for a total value of $616,803.05. Following the transaction, the insider now directly owns 195,572 shares of the company’s stock, valued at approximately $5,935,610.20. This trade represents a 9.41 % decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, insider David C. Kuo sold 10,000 shares of the business’s stock in a transaction that occurred on Tuesday, September 24th. The stock was sold at an average price of $15.02, for a total value of $150,200.00. Following the sale, the insider now owns 132,921 shares of the company’s stock, valued at approximately $1,996,473.42. This trade represents a 7.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 86,769 shares of company stock worth $2,813,037. Corporate insiders own 5.40% of the company’s stock.

Institutional Investors Weigh In On Applied Optoelectronics

Large investors have recently made changes to their positions in the stock. Royce & Associates LP lifted its holdings in Applied Optoelectronics by 47.7% in the third quarter. Royce & Associates LP now owns 1,596,545 shares of the semiconductor company’s stock valued at $22,847,000 after acquiring an additional 515,489 shares during the last quarter. Westfield Capital Management Co. LP acquired a new position in shares of Applied Optoelectronics in the 3rd quarter valued at $19,019,000. Whale Rock Capital Management LLC purchased a new position in Applied Optoelectronics during the third quarter worth about $16,145,000. Shellback Capital LP purchased a new position in shares of Applied Optoelectronics during the 2nd quarter worth approximately $8,617,000. Finally, Geode Capital Management LLC increased its holdings in Applied Optoelectronics by 7.1% in the 3rd quarter. Geode Capital Management LLC now owns 909,559 shares of the semiconductor company’s stock valued at $13,018,000 after purchasing an additional 60,241 shares during the last quarter. 61.72% of the stock is currently owned by hedge funds and other institutional investors.

About Applied Optoelectronics

Applied Optoelectronics, Inc designs, manufactures, and sells fiber-optic networking products in the United States, Taiwan, and China. It offers optical modules, optical filters, lasers, laser components, subassemblies, transmitters and transceivers, turn-key equipment, headend, node, distribution equipment, and amplifiers.