Lake Street Capital Has Lowered Expectations for Aehr Test Systems (NASDAQ:AEHR) Stock Price

Key Points

• Lake Street Capital lowered its price target on Aehr Test Systems from $110 to $90 but kept its Buy rating; the new target implies 41.12% upside from the share price cited in the report.
• Aehr reported quarterly revenue of $33.0 million and EPS of $0.28, beating analyst estimates of $27.5 million and $0.11, respectively, on strong semiconductor demand including AI-related demand.
• The company raised its fiscal 2027 revenue outlook to $150 million, above analyst consensus, with an effective backlog of $109.3 million. Analysts overall maintain a Moderate Buy consensus and an average price target of $118.75.

Aehr Test Systems (NASDAQ:AEHR - Get Free Report) had its target price decreased by investment analysts at Lake Street Capital from $110.00 to $90.00 in a note issued to investors on Tuesday, Benzinga reports. The firm currently has a "buy" rating on the semiconductor company's stock. Lake Street Capital's price objective suggests a potential upside of 41.12% from the company's current price.

Several other equities research analysts have also issued reports on the company. Oppenheimer initiated coverage on Aehr Test Systems in a report on Thursday, September 10th. They set an "outperform" rating and a $120.00 price target for the company. Zacks Research lowered shares of Aehr Test Systems from a "strong-buy" rating to a "hold" rating in a research report on Monday, September 14th. Jefferies Financial Group began coverage on shares of Aehr Test Systems in a research report on Thursday, August 13th. They set a "buy" rating and a $175.00 price objective on the stock. Craig Hallum reiterated a "buy" rating and issued a $125.00 target price on shares of Aehr Test Systems in a research note on Wednesday, July 15th. Finally, Wall Street Zen raised shares of Aehr Test Systems from a "sell" rating to a "hold" rating in a research report on Saturday, July 18th. One equities research analyst has rated the stock with a Strong Buy rating, five have given a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $118.75.

Aehr Test Systems Stock Up 23.9%

Shares of NASDAQ:AEHR traded up $12.30 during trading on Tuesday, reaching $63.77. 7,188,536 shares of the company traded hands, compared to its average volume of 2,506,228. The firm has a fifty day simple moving average of $82.66 and a 200 day simple moving average of $73.90. Aehr Test Systems has a 1-year low of $18.70 and a 1-year high of $147.40. The firm has a market cap of $2.08 billion, a P/E ratio of -265.59 and a beta of 3.47.

Aehr Test Systems (NASDAQ:AEHR - Get Free Report) last posted its quarterly earnings results on Monday, November 2nd. The semiconductor company reported $0.28 earnings per share for the quarter, topping analysts' consensus estimates of $0.11 by $0.17. Aehr Test Systems had a negative net margin of 14.25% and a negative return on equity of 3.83%. The business had revenue of $33.01 million for the quarter, compared to the consensus estimate of $27.53 million. As a group, research analysts anticipate that Aehr Test Systems will post 0.45 EPS for the current year.

Insider Activity at Aehr Test Systems

In other Aehr Test Systems news, CEO Gayn Erickson sold 40,000 shares of the business's stock in a transaction dated Wednesday, August 12th. The stock was sold at an average price of $130.84, for a total value of $5,233,600.00. Following the completion of the sale, the chief executive officer owned 157,723 shares of the company's stock, valued at $20,636,477.32. The trade was a 20.23% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, EVP Alberto Salamone sold 9,672 shares of the business's stock in a transaction dated Thursday, August 13th. The stock was sold at an average price of $127.72, for a total value of $1,235,307.84. Following the completion of the sale, the executive vice president directly owned 41,962 shares of the company's stock, valued at $5,359,386.64. This represents a 18.73% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders sold 87,475 shares of company stock valued at $11,459,240. Insiders own 4.60% of the company's stock.

Institutional Investors Weigh In On Aehr Test Systems

Several institutional investors and hedge funds have recently added to or reduced their stakes in AEHR. Advocate Investing Services LLC bought a new position in shares of Aehr Test Systems in the second quarter valued at approximately $26,000. Nykredit A S bought a new stake in shares of Aehr Test Systems during the 2nd quarter worth $28,000. KBC Group NV bought a new stake in shares of Aehr Test Systems during the 1st quarter worth $30,000. Compagnie Lombard Odier SCmA acquired a new position in Aehr Test Systems in the 2nd quarter valued at $34,000. Finally, Tema ETFs LLC acquired a new position in Aehr Test Systems in the 2nd quarter valued at $89,000. 69.69% of the stock is currently owned by institutional investors and hedge funds.

Aehr Test Systems News Summary

Here are the key news stories impacting Aehr Test Systems this week:

• Positive Sentiment: Fiscal Q1 revenue reached a record $33.0 million, ahead of the $27.5 million consensus, while reported EPS of $0.28 also topped estimates. The company attributed growth to strong semiconductor demand, including AI-related demand. Article: AEHR Q1 Earnings Beat Estimates on AI Demand, Revenue Outlook Raised
• Positive Sentiment: Aehr raised fiscal 2027 revenue guidance to $150 million—above the $138.4 million analyst consensus and roughly triple fiscal 2026 revenue. Effective backlog stood at $109.3 million as of November 1, supporting the stronger outlook. Article: Aehr Test Systems: 3 Key Takeaways for Long-Term Investors
• Neutral Sentiment: Call-option activity was unusually high, with traders buying about 14,866 contracts—approximately 51% above typical volume. This signals increased trading interest but does not establish the direction of future performance.

About Aehr Test Systems

Aehr Test Systems NASDAQ: AEHR develops and manufactures test and burn-in equipment used to qualify and screen semiconductor devices. Its systems are designed to identify manufacturing defects and reliability issues before chips are shipped to customers, helping semiconductor manufacturers improve production yields and product quality.

The company's product portfolio includes the FOX family of semiconductor test systems, including the FOX-XP, FOX-NP and FOX-1P platforms. Aehr also provides wafer contactors, DiePak carriers and related test fixtures and software.

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