Aehr Test Systems (NASDAQ:AEHR) Trading Up 11.5% - Should You Buy?

Key Points

• Aehr Test Systems shares rose by 11.5% during mid-day trading, reaching a high of $18.90, as trading volume significantly decreased.
• Analysts have downgraded Aehr Test Systems to a "sell" rating, despite the company reporting better-than-expected earnings results.
• Institutional investors own 69.69% of Aehr Test Systems stock, with several recent transactions indicating a mix of buying and selling activity among hedge funds.

Shares of Aehr Test Systems (NASDAQ:AEHR - Get Free Report) shot up 11.5% during mid-day trading on Monday . The stock traded as high as $18.90 and last traded at $18.77. 368,168 shares changed hands during trading, a decline of 67% from the average session volume of 1,127,491 shares. The stock had previously closed at $16.84.

Wall Street Analyst Weigh In

Separately, Wall Street Zen upgraded shares of Aehr Test Systems to a "sell" rating in a research note on Tuesday, May 13th.

Aehr Test Systems Stock Up 11.3%

The stock has a market capitalization of $560.82 million, a price-to-earnings ratio of -143.87 and a beta of 2.35. The firm has a fifty day moving average of $13.80 and a 200-day moving average of $10.95.

Aehr Test Systems (NASDAQ:AEHR - Get Free Report) last released its earnings results on Tuesday, July 8th. The semiconductor company reported ($0.01) earnings per share (EPS) for the quarter, beating analysts' consensus estimates of ($0.02) by $0.01. Aehr Test Systems had a negative net margin of 6.63% and a negative return on equity of 0.15%. The firm had revenue of $14,100 billion during the quarter, compared to the consensus estimate of $14.83 million. As a group, research analysts forecast that Aehr Test Systems will post 0.1 EPS for the current fiscal year.

Insider Buying and Selling

In related news, Director Laura Oliphant sold 5,000 shares of the firm's stock in a transaction that occurred on Friday, July 25th. The shares were sold at an average price of $21.50, for a total value of $107,500.00. Following the completion of the transaction, the director owned 7,665 shares of the company's stock, valued at approximately $164,797.50. This trade represents a 39.48% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, EVP Alberto Salamone sold 4,995 shares of the stock in a transaction that occurred on Monday, May 12th. The stock was sold at an average price of $9.08, for a total transaction of $45,354.60. Following the completion of the sale, the executive vice president owned 56,241 shares of the company's stock, valued at approximately $510,668.28. The trade was a 8.16% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 30,995 shares of company stock valued at $552,185 in the last 90 days. Corporate insiders own 6.20% of the company's stock.

Hedge Funds Weigh In On Aehr Test Systems

Several institutional investors have recently bought and sold shares of AEHR. Quantbot Technologies LP bought a new position in Aehr Test Systems during the first quarter worth $31,000. GAMMA Investing LLC raised its stake in Aehr Test Systems by 1,753.1% during the first quarter. GAMMA Investing LLC now owns 7,079 shares of the semiconductor company's stock worth $52,000 after acquiring an additional 6,697 shares in the last quarter. State of Wyoming acquired a new position in Aehr Test Systems in the fourth quarter valued at about $67,000. CWM LLC increased its holdings in Aehr Test Systems by 15.1% during the 2nd quarter. CWM LLC now owns 6,062 shares of the semiconductor company's stock valued at $78,000 after purchasing an additional 793 shares in the last quarter. Finally, American Century Companies Inc. acquired a new position in Aehr Test Systems in the first quarter worth $86,000. 69.69% of the stock is currently owned by institutional investors.

Aehr Test Systems Company Profile

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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