Aehr Test Systems (NASDAQ:AEHR) Rating Lowered to "Strong Sell" at Zacks Research

Key Points

• Aehr Test Systems has been downgraded from a "hold" to a "strong sell" rating by Zacks Research as of Thursday, indicating a bearish outlook for the stock.
• Other brokerages, including Craig Hallum, have also lowered their ratings, with Craig Hallum setting a price target of $24.00 for AEHR shares.
• Aehr Test Systems reported earnings of $0.01 EPS for the quarter, matching estimates, but falling short on revenue expectations with $11.00 million against the estimated $13.69 million.

Aehr Test Systems (NASDAQ:AEHR - Get Free Report) was downgraded by Zacks Research from a "hold" rating to a "strong sell" rating in a report released on Thursday,Zacks.com reports.

A number of other brokerages have also recently commented on AEHR. Craig Hallum cut shares of Aehr Test Systems from a "buy" rating to a "hold" rating and set a $24.00 price objective on the stock. in a research note on Tuesday. Weiss Ratings reissued a "sell (d)" rating on shares of Aehr Test Systems in a research note on Wednesday. One analyst has rated the stock with a Hold rating and two have given a Sell rating to the stock. According to MarketBeat, Aehr Test Systems presently has an average rating of "Sell" and a consensus price target of $24.00.

Aehr Test Systems Stock Performance

Shares of NASDAQ AEHR opened at $23.49 on Thursday. The firm has a market capitalization of $704.93 million, a P/E ratio of -106.77 and a beta of 2.47. Aehr Test Systems has a one year low of $6.27 and a one year high of $34.35. The company's fifty day moving average is $25.13 and its two-hundred day moving average is $16.01.

Aehr Test Systems (NASDAQ:AEHR - Get Free Report) last issued its earnings results on Monday, October 6th. The semiconductor company reported $0.01 EPS for the quarter, hitting the consensus estimate of $0.01. The company had revenue of $11.00 million for the quarter, compared to analyst estimates of $13.69 million. Aehr Test Systems had a negative net margin of 11.71% and a negative return on equity of 2.41%. During the same period in the previous year, the firm earned $0.07 EPS. On average, sell-side analysts forecast that Aehr Test Systems will post 0.1 earnings per share for the current fiscal year.

Insider Activity

In other Aehr Test Systems news, VP Alistair N. Sporck sold 3,000 shares of the company's stock in a transaction dated Tuesday, July 15th. The shares were sold at an average price of $14.13, for a total value of $42,390.00. Following the transaction, the vice president directly owned 30,808 shares in the company, valued at approximately $435,317.04. This represents a 8.87% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, Director Fariba Danesh sold 9,000 shares of the company's stock in a transaction dated Thursday, October 9th. The shares were sold at an average price of $24.79, for a total transaction of $223,110.00. Following the completion of the transaction, the director owned 16,643 shares in the company, valued at approximately $412,579.97. This trade represents a 35.10% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 35,000 shares of company stock valued at $729,940 in the last 90 days. Company insiders own 6.80% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in AEHR. GAMMA Investing LLC lifted its holdings in Aehr Test Systems by 1,753.1% in the 1st quarter. GAMMA Investing LLC now owns 7,079 shares of the semiconductor company's stock valued at $52,000 after purchasing an additional 6,697 shares in the last quarter. Rhumbline Advisers lifted its holdings in shares of Aehr Test Systems by 5.7% during the 1st quarter. Rhumbline Advisers now owns 40,212 shares of the semiconductor company's stock worth $293,000 after acquiring an additional 2,165 shares during the period. XTX Topco Ltd purchased a new position in shares of Aehr Test Systems during the 1st quarter worth about $267,000. Charles Schwab Investment Management Inc. lifted its holdings in shares of Aehr Test Systems by 4.8% during the 1st quarter. Charles Schwab Investment Management Inc. now owns 225,923 shares of the semiconductor company's stock worth $1,647,000 after acquiring an additional 10,327 shares during the period. Finally, Invesco Ltd. lifted its holdings in shares of Aehr Test Systems by 88.8% during the 1st quarter. Invesco Ltd. now owns 30,226 shares of the semiconductor company's stock worth $220,000 after acquiring an additional 14,219 shares during the period. 69.69% of the stock is currently owned by hedge funds and other institutional investors.

About Aehr Test Systems

Aehr Test Systems provides test solutions for testing, burning-in, and semiconductor devices in wafer level, singulated die, and package part form, and installed systems worldwide. Its product portfolio includes FOX-XP and FOX-NP systems that are full wafer contact and singulated die/module test and burn-in systems that can test, burn-in, and stabilize range of devices, including silicon carbide-based and other power semiconductors, 2D and 3D sensors used in mobile phones, tablets and other computing devices, memory semiconductors, processors, microcontrollers, systems-on-a-chip, and photonics and integrated optical devices.

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