Alpha and Omega Semiconductor (NASDAQ:AOSL) Trading Down 6.7% - Here's Why

Key Points

• Alpha and Omega Semiconductor shares fell 6.7% on Thursday, trading as low as $45.12 amid lighter-than-normal volume of about 169,987 shares.
• Analyst sentiment is mixed but mostly cautious, with an average rating of “Hold” and an average price target of $30.50; recent actions included a new Buy rating from Needham and several Hold/Sell ratings from other firms.
• The company beat quarterly expectations on earnings and revenue, reporting a smaller-than-expected loss of $0.28 per share on revenue of $163.79 million, though revenue still slipped 0.5% year over year.

Alpha and Omega Semiconductor Limited (NASDAQ:AOSL - Get Free Report)'s share price dropped 6.7% during trading on Thursday . The stock traded as low as $45.12 and last traded at $45.5980. Approximately 169,987 shares were traded during trading, a decline of 72% from the average daily volume of 607,575 shares. The stock had previously closed at $48.86.

Analyst Upgrades and Downgrades

AOSL has been the subject of several analyst reports. Needham & Company LLC initiated coverage on Alpha and Omega Semiconductor in a research report on Friday, May 1st. They set a "buy" rating and a $50.00 target price for the company. Wall Street Zen upgraded Alpha and Omega Semiconductor from a "strong sell" rating to a "hold" rating in a research report on Saturday, May 9th. Stifel Nicolaus cut their target price on Alpha and Omega Semiconductor from $24.00 to $22.00 and set a "hold" rating for the company in a research report on Friday, February 6th. Zacks Research upgraded Alpha and Omega Semiconductor from a "strong sell" rating to a "hold" rating in a research report on Monday, April 6th. Finally, Weiss Ratings restated a "sell (d-)" rating on shares of Alpha and Omega Semiconductor in a research report on Monday, April 20th. Two research analysts have rated the stock with a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of "Hold" and an average price target of $30.50.

Alpha and Omega Semiconductor Stock Down 1.0%

The company has a market cap of $1.45 billion, a P/E ratio of -13.64 and a beta of 2.58. The business has a 50-day moving average price of $33.15 and a two-hundred day moving average price of $25.29.

Alpha and Omega Semiconductor (NASDAQ:AOSL - Get Free Report) last released its earnings results on Wednesday, May 6th. The semiconductor company reported ($0.28) earnings per share for the quarter, topping analysts' consensus estimates of ($0.34) by $0.06. The company had revenue of $163.79 million during the quarter, compared to the consensus estimate of $160.07 million. Alpha and Omega Semiconductor had a negative return on equity of 4.30% and a negative net margin of 15.51%.The firm's quarterly revenue was down .5% on a year-over-year basis. During the same quarter in the previous year, the company posted ($0.10) earnings per share. As a group, sell-side analysts expect that Alpha and Omega Semiconductor Limited will post -1.5 EPS for the current fiscal year.

Insider Transactions at Alpha and Omega Semiconductor

In other news, CEO Stephen Chunping Chang sold 14,884 shares of the business's stock in a transaction on Friday, April 17th. The stock was sold at an average price of $34.47, for a total transaction of $513,051.48. Following the completion of the sale, the chief executive officer owned 635,901 shares in the company, valued at $21,919,507.47. The trade was a 2.29% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Yifan Liang sold 8,625 shares of the business's stock in a transaction on Friday, April 17th. The stock was sold at an average price of $35.00, for a total value of $301,875.00. Following the sale, the chief financial officer owned 270,003 shares of the company's stock, valued at approximately $9,450,105. The trade was a 3.10% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders have sold 59,860 shares of company stock worth $1,913,960. Insiders own 16.70% of the company's stock.

Institutional Investors Weigh In On Alpha and Omega Semiconductor

A number of institutional investors have recently made changes to their positions in the stock. Hantz Financial Services Inc. grew its stake in Alpha and Omega Semiconductor by 634.8% in the third quarter. Hantz Financial Services Inc. now owns 1,036 shares of the semiconductor company's stock valued at $29,000 after acquiring an additional 895 shares during the period. Northwestern Mutual Wealth Management Co. acquired a new position in Alpha and Omega Semiconductor in the third quarter valued at about $62,000. Strs Ohio acquired a new position in Alpha and Omega Semiconductor in the first quarter valued at about $70,000. iSAM Funds UK Ltd acquired a new position in Alpha and Omega Semiconductor in the third quarter valued at about $91,000. Finally, Tower Research Capital LLC TRC grew its stake in Alpha and Omega Semiconductor by 574.4% in the second quarter. Tower Research Capital LLC TRC now owns 4,957 shares of the semiconductor company's stock valued at $127,000 after acquiring an additional 4,222 shares during the period. 78.97% of the stock is owned by institutional investors and hedge funds.

About Alpha and Omega Semiconductor

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.