Zacks Investment Research Upgrades Applied Optoelectronics (AAOI) to Buy
Zacks Investment Research upgraded shares of Applied Optoelectronics (NASDAQ:AAOI) from a hold rating to a buy rating in a report issued on Friday. The firm currently has $18.00 price objective on the semiconductor company’s stock.
According to Zacks, “Applied Optoelectronics, Inc. designs, develops and manufactures advanced optical devices, packaged optical components, optical subsystems, laser transmitters and fiber optic transceivers. The company’s products are used in fiber optic communications equipment for FTTH, point-to-point telecom, datacom and access networks and systems supporting cable television, network infrastructure. Applied Optoelectronics, Inc. is headquartered in Sugar Land, Texas. “
A number of other research firms also recently issued reports on AAOI. ValuEngine downgraded shares of Applied Optoelectronics from a hold rating to a sell rating in a report on Tuesday, December 25th. Cowen cut their price objective on shares of Applied Optoelectronics from $53.00 to $25.00 and set an outperform rating for the company in a report on Thursday, November 8th. DA Davidson boosted their price objective on shares of Applied Optoelectronics to $42.00 and gave the company a buy rating in a report on Thursday, November 8th. B. Riley cut their price objective on shares of Applied Optoelectronics from $24.00 to $22.00 and set a neutral rating for the company in a report on Monday, November 5th. Finally, Piper Jaffray Companies cut their price objective on shares of Applied Optoelectronics to $20.00 and set a neutral rating for the company in a report on Wednesday, November 7th. Six analysts have rated the stock with a sell rating, two have issued a hold rating and five have assigned a buy rating to the company’s stock. Applied Optoelectronics presently has an average rating of Hold and a consensus target price of $24.40.
Applied Optoelectronics (NASDAQ:AAOI) last announced its quarterly earnings results on Wednesday, November 7th. The semiconductor company reported $0.14 EPS for the quarter, beating the Zacks’ consensus estimate of ($0.11) by $0.25. Applied Optoelectronics had a net margin of 4.20% and a return on equity of 8.73%. The business had revenue of $56.40 million for the quarter, compared to analyst estimates of $56.55 million. During the same quarter in the prior year, the business earned $1.08 EPS. Applied Optoelectronics’s quarterly revenue was down 36.6% on a year-over-year basis. As a group, equities analysts forecast that Applied Optoelectronics will post 0.53 earnings per share for the current year.
In other news, CFO Stefan J. Murry sold 2,000 shares of the company’s stock in a transaction that occurred on Wednesday, December 19th. The shares were sold at an average price of $15.40, for a total transaction of $30,800.00. Following the completion of the sale, the chief financial officer now owns 64,520 shares of the company’s stock, valued at approximately $993,608. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Corporate insiders own 6.90% of the company’s stock.
Institutional investors have recently modified their holdings of the company. Russell Investments Group Ltd. acquired a new position in Applied Optoelectronics during the 3rd quarter worth approximately $908,000. Schwab Charles Investment Management Inc. increased its position in Applied Optoelectronics by 11.6% during the 2nd quarter. Schwab Charles Investment Management Inc. now owns 100,798 shares of the semiconductor company’s stock worth $4,526,000 after purchasing an additional 10,481 shares in the last quarter. Dimensional Fund Advisors LP increased its position in Applied Optoelectronics by 17.9% during the 2nd quarter. Dimensional Fund Advisors LP now owns 359,689 shares of the semiconductor company’s stock worth $16,150,000 after purchasing an additional 54,595 shares in the last quarter. Northern Trust Corp increased its position in Applied Optoelectronics by 3.2% during the 2nd quarter. Northern Trust Corp now owns 224,674 shares of the semiconductor company’s stock worth $10,088,000 after purchasing an additional 6,884 shares in the last quarter. Finally, SG Americas Securities LLC increased its position in Applied Optoelectronics by 728.2% during the 3rd quarter. SG Americas Securities LLC now owns 39,489 shares of the semiconductor company’s stock worth $974,000 after purchasing an additional 34,721 shares in the last quarter. 67.44% of the stock is owned by institutional investors.
About Applied Optoelectronics
Applied Optoelectronics, Inc designs, manufactures, and sells various fiber-optic networking products worldwide. It offers optical modules, lasers, transmitters and transceivers, and turn-key equipment, as well as headend, node, and distribution equipment. The company sells its products to Internet data center operators, cable television and telecommunications equipment manufacturers, and Internet service providers through its direct and indirect sales channels.
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