Applied Optoelectronics (NASDAQ:AAOI) Shares Down 9.9% – Here’s Why

Shares of Applied Optoelectronics, Inc. (NASDAQ:AAOI) fell 9.9% during trading on Monday . The stock traded as low as $14.36 and last traded at $14.26. 942,632 shares traded hands during mid-day trading, a decline of 75% from the average session volume of 3,731,749 shares. The stock had previously closed at $15.82.

Wall Street Analyst Weigh In

A number of research analysts recently weighed in on AAOI shares. B. Riley raised shares of Applied Optoelectronics from a “sell” rating to a “neutral” rating and set a $13.00 price target on the stock in a research report on Friday. Rosenblatt Securities reissued a “buy” rating and set a $44.00 target price on shares of Applied Optoelectronics in a research report on Monday, February 24th. StockNews.com raised Applied Optoelectronics to a “sell” rating in a report on Wednesday, February 26th. Raymond James raised their price objective on shares of Applied Optoelectronics to $31.00 and gave the stock a “buy” rating in a report on Friday, February 28th. Finally, Northland Securities reaffirmed an “outperform” rating and issued a $40.00 price target (up previously from $25.00) on shares of Applied Optoelectronics in a report on Wednesday, December 18th. One research analyst has rated the stock with a sell rating, two have issued a hold rating and three have assigned a buy rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of “Hold” and an average target price of $27.40.

Applied Optoelectronics Stock Performance

The company has a debt-to-equity ratio of 0.36, a current ratio of 1.61 and a quick ratio of 1.06. The firm has a market capitalization of $701.77 million, a PE ratio of -6.86 and a beta of 2.36. The company’s fifty day simple moving average is $28.13 and its 200 day simple moving average is $24.54.

Applied Optoelectronics (NASDAQ:AAOI) last announced its quarterly earnings results on Wednesday, February 26th. The semiconductor company reported ($0.09) EPS for the quarter, missing analysts’ consensus estimates of ($0.02) by ($0.07). Applied Optoelectronics had a negative net margin of 38.61% and a negative return on equity of 22.36%. The business had revenue of $100.27 million for the quarter, compared to analysts’ expectations of $99.92 million. As a group, equities research analysts expect that Applied Optoelectronics, Inc. will post -1.18 EPS for the current fiscal year.

Insider Transactions at Applied Optoelectronics

In other Applied Optoelectronics news, Director Richard B. Black sold 10,000 shares of Applied Optoelectronics stock in a transaction dated Wednesday, January 15th. The stock was sold at an average price of $29.00, for a total transaction of $290,000.00. Following the completion of the transaction, the director now owns 157,813 shares of the company’s stock, valued at $4,576,577. The trade was a 5.96 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, CFO Stefan J. Murry sold 2,298 shares of the company’s stock in a transaction that occurred on Tuesday, January 21st. The stock was sold at an average price of $35.17, for a total transaction of $80,820.66. Following the sale, the chief financial officer now directly owns 209,831 shares in the company, valued at $7,379,756.27. This trade represents a 1.08 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 26,298 shares of company stock valued at $850,401 over the last three months. Company insiders own 5.40% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in AAOI. Meeder Asset Management Inc. purchased a new position in shares of Applied Optoelectronics during the fourth quarter worth about $38,000. Sterling Capital Management LLC raised its stake in shares of Applied Optoelectronics by 858.2% during the fourth quarter. Sterling Capital Management LLC now owns 1,284 shares of the semiconductor company’s stock worth $47,000 after acquiring an additional 1,150 shares in the last quarter. Canada Pension Plan Investment Board bought a new stake in Applied Optoelectronics in the fourth quarter worth $63,000. Pingora Partners LLC bought a new stake in shares of Applied Optoelectronics in the 3rd quarter valued at about $82,000. Finally, FMR LLC lifted its position in Applied Optoelectronics by 3,290.6% in the third quarter. FMR LLC now owns 6,137 shares of the semiconductor company’s stock valued at $88,000 after purchasing an additional 5,956 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.