Alpha and Omega Semiconductor (NASDAQ:AOSL) Shares Gap Up - Time to Buy?

Key Points

• Shares gapped up pre-market, opening at $35.66 (prior close $33.88) and trading near $36.98, well above the 50- and 200-day moving averages (~$22.8).
• Analysts are mixed—one Buy, three Hold and one Sell—with an average target of $24 and recent price-target revisions in the $19–$25 range.
• Fundamentals are weak: the company missed Q4 EPS ($0.16 loss vs. $0.08 est.), revenue was down 6.3% YoY, net margin was −15.06%, and insiders have recently sold shares.

Alpha and Omega Semiconductor Limited (NASDAQ:AOSL - Get Free Report) shares gapped up prior to trading on Monday . The stock had previously closed at $33.88, but opened at $35.66. Alpha and Omega Semiconductor shares last traded at $36.9780, with a volume of 239,098 shares trading hands.

Analysts Set New Price Targets

A number of equities analysts have recently commented on AOSL shares. Weiss Ratings reissued a "sell (d-)" rating on shares of Alpha and Omega Semiconductor in a research note on Wednesday, January 21st. Wall Street Zen downgraded shares of Alpha and Omega Semiconductor from a "hold" rating to a "strong sell" rating in a research note on Saturday, February 7th. Stifel Nicolaus dropped their price target on shares of Alpha and Omega Semiconductor from $24.00 to $22.00 and set a "hold" rating on the stock in a research note on Friday, February 6th. Zacks Research raised shares of Alpha and Omega Semiconductor from a "strong sell" rating to a "hold" rating in a research note on Monday, April 6th. Finally, B. Riley Financial lifted their price target on shares of Alpha and Omega Semiconductor from $19.00 to $25.00 and gave the stock a "neutral" rating in a research note on Monday, April 13th. One analyst has rated the stock with a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat.com, the company has an average rating of "Hold" and an average target price of $24.00.

Alpha and Omega Semiconductor Stock Performance

The business's 50 day moving average price is $22.80 and its two-hundred day moving average price is $22.96. The company has a market capitalization of $1.22 billion, a price-to-earnings ratio of -11.75 and a beta of 1.94.

Alpha and Omega Semiconductor (NASDAQ:AOSL - Get Free Report) last issued its quarterly earnings results on Thursday, February 5th. The semiconductor company reported ($0.16) earnings per share for the quarter, missing analysts' consensus estimates of ($0.08) by ($0.08). The company had revenue of $162.26 million during the quarter, compared to analyst estimates of $160.67 million. Alpha and Omega Semiconductor had a negative return on equity of 3.78% and a negative net margin of 15.06%.The company's revenue was down 6.3% on a year-over-year basis. During the same period in the prior year, the company posted $0.09 earnings per share. On average, sell-side 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 2,408 shares of the stock in a transaction that occurred on Monday, March 16th. The shares were sold at an average price of $21.92, for a total transaction of $52,783.36. Following the completion of the sale, the executive vice president directly owned 113,631 shares of the company's stock, valued at $2,490,791.52. This represents a 2.08% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Stephen Chunping Chang sold 5,594 shares of the stock in a transaction on Tuesday, April 14th. The stock was sold at an average price of $31.90, for a total transaction of $178,448.60. Following the transaction, the chief executive officer owned 650,785 shares in the company, valued at approximately $20,760,041.50. This trade represents a 0.85% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 34,519 shares of company stock valued at $1,041,857 in the last ninety days. Company insiders own 16.70% of the company's stock.

Institutional Trading of Alpha and Omega Semiconductor

Several large investors have recently modified their holdings of AOSL. CWM LLC increased its position in shares of Alpha and Omega Semiconductor by 20.0% during the 3rd quarter. CWM LLC now owns 2,314 shares of the semiconductor company's stock worth $65,000 after purchasing an additional 386 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its position in shares of Alpha and Omega Semiconductor by 4.6% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 14,167 shares of the semiconductor company's stock worth $352,000 after buying an additional 624 shares during the period. GAMMA Investing LLC boosted its stake in Alpha and Omega Semiconductor by 21.4% during the 3rd quarter. GAMMA Investing LLC now owns 4,109 shares of the semiconductor company's stock worth $115,000 after acquiring an additional 724 shares during the last quarter. Royal Bank of Canada grew its holdings in Alpha and Omega Semiconductor by 9.2% during the fourth quarter. Royal Bank of Canada now owns 8,938 shares of the semiconductor company's stock valued at $177,000 after purchasing an additional 755 shares during the period. Finally, Deutsche Bank AG grew its holdings in Alpha and Omega Semiconductor by 1.8% during the fourth quarter. Deutsche Bank AG now owns 47,059 shares of the semiconductor company's stock valued at $932,000 after purchasing an additional 844 shares during the period. 78.97% of the stock is owned by institutional investors.

Alpha and Omega Semiconductor Company Profile

Alpha and Omega Semiconductor Limited NASDAQ: AOSL is a designer and supplier of power semiconductor components used in power management applications across a range of electronic systems. The company offers a broad portfolio of discrete and integrated power devices, including power MOSFETs, rectifiers, voltage regulators, and power management ICs. These products are optimized for high efficiency, compact form factors and thermal performance, catering to the growing demands of energy-sensitive applications in computing, consumer electronics, communications and industrial markets.

Since its founding in 2000, Alpha and Omega Semiconductor has leveraged in-house design expertise and strategic partnerships with manufacturing facilities to deliver scalable, high-volume production.

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