Alpha and Omega Semiconductor (NASDAQ:AOSL) Shares Gap Down - Here's What Happened

Key Points

• Alpha and Omega Semiconductor (NASDAQ:AOSL) gapped down significantly, opening at $24.21 after a previous close of $26.20, and recently traded at $23.02 with nearly 152,000 shares exchanged.
• Analysts have varied expectations, with B. Riley raising their target price for the stock from $30 to $35, while Benchmark reduced their target from $42 to $32.
• The semiconductor company reported a 9.4% year-over-year revenue increase to $176.5 million and beat earnings expectations with $0.02 EPS compared to an estimate of ($0.01).

Shares of Alpha and Omega Semiconductor Limited (NASDAQ:AOSL - Get Free Report) gapped down before the market opened on Thursday . The stock had previously closed at $26.20, but opened at $24.21. Alpha and Omega Semiconductor shares last traded at $23.02, with a volume of 151,969 shares traded.

Analysts Set New Price Targets

AOSL has been the topic of a number of recent analyst reports. B. Riley lifted their target price on Alpha and Omega Semiconductor from $30.00 to $35.00 and gave the stock a "buy" rating in a research note on Friday, July 11th. Wall Street Zen upgraded shares of Alpha and Omega Semiconductor from a "sell" rating to a "hold" rating in a research report on Sunday, May 11th. Stifel Nicolaus upgraded Alpha and Omega Semiconductor from a "sell" rating to a "hold" rating and raised their price target for the company from $18.00 to $25.00 in a report on Tuesday, July 15th. Finally, Benchmark decreased their target price on Alpha and Omega Semiconductor from $42.00 to $32.00 and set a "buy" rating for the company in a research report on Friday, May 9th.

Alpha and Omega Semiconductor Stock Performance

The firm has a market capitalization of $727.35 million, a PE ratio of -31.85 and a beta of 2.14. The stock's 50 day moving average price is $25.67 and its two-hundred day moving average price is $26.60. The company has a current ratio of 2.57, a quick ratio of 1.36 and a debt-to-equity ratio of 0.02.

Alpha and Omega Semiconductor (NASDAQ:AOSL - Get Free Report) last released its quarterly earnings data on Wednesday, August 6th. The semiconductor company reported $0.02 EPS for the quarter, topping analysts' consensus estimates of ($0.01) by $0.03. Alpha and Omega Semiconductor had a negative return on equity of 0.28% and a negative net margin of 3.33%. The business had revenue of $176.50 million during the quarter, compared to the consensus estimate of $170.03 million. During the same period in the prior year, the firm posted $0.09 EPS. The business's revenue for the quarter was up 9.4% on a year-over-year basis. On average, equities analysts expect that Alpha and Omega Semiconductor Limited will post -0.82 earnings per share for the current year.

Insider Buying and Selling at Alpha and Omega Semiconductor

In related news, EVP Bing Xue sold 1,845 shares of the firm's stock in a transaction that occurred on Monday, May 12th. The shares were sold at an average price of $23.73, for a total transaction of $43,781.85. Following the transaction, the executive vice president owned 130,951 shares in the company, valued at $3,107,467.23. This trade represents a 1.39% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Company insiders own 16.90% of the company's stock.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the business. Vanguard Group Inc. increased its holdings in Alpha and Omega Semiconductor by 0.6% in the 4th quarter. Vanguard Group Inc. now owns 2,411,632 shares of the semiconductor company's stock valued at $89,303,000 after buying an additional 14,070 shares during the period. The Manufacturers Life Insurance Company lifted its position in Alpha and Omega Semiconductor by 5.3% during the 1st quarter. The Manufacturers Life Insurance Company now owns 1,252,531 shares of the semiconductor company's stock worth $31,138,000 after buying an additional 63,286 shares in the last quarter. Hood River Capital Management LLC bought a new position in Alpha and Omega Semiconductor in the 4th quarter valued at $42,162,000. Wellington Management Group LLP increased its position in Alpha and Omega Semiconductor by 43.4% in the first quarter. Wellington Management Group LLP now owns 908,043 shares of the semiconductor company's stock worth $22,574,000 after purchasing an additional 274,698 shares during the period. Finally, Robeco Schweiz AG acquired a new position in Alpha and Omega Semiconductor in the first quarter valued at approximately $19,434,000. 78.97% of the stock is owned by institutional investors and hedge funds.

Alpha and Omega Semiconductor Company Profile

Alpha and Omega Semiconductor Limited designs, develops, and supplies power semiconductor products for computing, consumer electronics, communication, and industrial applications in Hong Kong, China, South Korea, the United States, and internationally. It offers power discrete products, including metal-oxide-semiconductor field-effect transistors (MOSFET), SRFETs, XSFET, electrostatic discharge, protected MOSFETs, high and mid-voltage MOSFETs, and insulated gate bipolar transistors for use in smart phone chargers, battery packs, notebooks, desktop and servers, data centers, base stations, graphics card, game boxes, TVs, AC adapters, power supplies, motor control, power tools, E-vehicles, white goods and industrial motor drives, UPS systems, solar inverters, and industrial welding.

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