Aehr Test Systems (NASDAQ:AEHR) Trading Down 7.3% – Time to Sell?

Aehr Test Systems (NASDAQ:AEHR) shares dropped 7.3% on Monday . The company traded as low as $86.51 and last traded at $88.9250. Approximately 953,160 shares were traded during mid-day trading, a decline of 58% from the average daily volume of 2,247,674 shares. The stock had previously closed at $95.91.

Wall Street Analysts Forecast Growth

AEHR has been the subject of a number of recent research reports. Lake Street Capital reiterated a “buy” rating on shares of Aehr Test Systems in a research report on Wednesday, April 8th. Wall Street Zen upgraded Aehr Test Systems from a “strong sell” rating to a “sell” rating in a report on Saturday, April 11th. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Aehr Test Systems in a research note on Monday, April 20th. William Blair raised Aehr Test Systems from a “market perform” rating to an “outperform” rating in a research report on Monday, March 2nd. Finally, Craig Hallum raised Aehr Test Systems from a “hold” rating to a “buy” rating and set a $68.00 price objective for the company in a research report on Wednesday, April 8th. Three equities research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average target price of $68.00.

Aehr Test Systems Stock Down 6.8%

The stock has a market capitalization of $2.59 billion, a price-to-earnings ratio of -216.92 and a beta of 2.28. The company’s 50-day simple moving average is $51.63 and its 200 day simple moving average is $34.18.

Aehr Test Systems (NASDAQ:AEHR) last posted its earnings results on Tuesday, April 7th. The semiconductor company reported ($0.05) EPS for the quarter, topping the consensus estimate of ($0.07) by $0.02. The firm had revenue of $10.31 million for the quarter, compared to the consensus estimate of $10.85 million. Aehr Test Systems had a negative net margin of 25.23% and a negative return on equity of 7.15%. On average, equities analysts expect that Aehr Test Systems will post -0.31 earnings per share for the current fiscal year.

Insider Activity

In other Aehr Test Systems news, EVP Alberto Salamone sold 15,000 shares of the company’s stock in a transaction dated Monday, April 20th. The shares were sold at an average price of $89.57, for a total transaction of $1,343,550.00. Following the completion of the sale, the executive vice president directly owned 63,025 shares in the company, valued at $5,645,149.25. This represents a 19.22% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Donald P. Richmond II sold 17,011 shares of the company’s stock in a transaction dated Tuesday, April 14th. The shares were sold at an average price of $73.18, for a total transaction of $1,244,864.98. Following the sale, the insider owned 181,512 shares of the company’s stock, valued at $13,283,048.16. This trade represents a 8.57% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders sold 382,184 shares of company stock valued at $28,362,244. Corporate insiders own 6.80% of the company’s stock.

Institutional Investors Weigh In On Aehr Test Systems

Hedge funds have recently bought and sold shares of the company. Sunbelt Securities Inc. bought a new stake in Aehr Test Systems during the third quarter valued at about $27,000. Jones Financial Companies Lllp boosted its holdings in Aehr Test Systems by 3,448.3% during the third quarter. Jones Financial Companies Lllp now owns 1,029 shares of the semiconductor company’s stock valued at $31,000 after acquiring an additional 1,000 shares during the period. Caitong International Asset Management Co. Ltd bought a new stake in Aehr Test Systems during the fourth quarter valued at about $25,000. RiverPark Advisors LLC bought a new stake in Aehr Test Systems during the third quarter valued at about $42,000. Finally, State of Wyoming bought a new stake in Aehr Test Systems during the second quarter valued at about $28,000. 69.69% of the stock is currently owned by institutional investors.

About Aehr Test Systems

Aehr Test Systems develops, manufactures and sells semiconductor test and burn-in equipment used by device manufacturers to ensure quality and reliability of integrated circuits. Its products are designed for wafer-level reliability assessment, functional test and stress screening of memory devices, system-on-chips, optical components and power semiconductors. By focusing on wafer-level burn-in and testing processes, the company helps reduce cost and improve yield for high-volume semiconductor production.

The company’s product portfolio includes FOX series wafer probe test and burn-in systems as well as ABTS burn-in ovens.