Applied Optoelectronics (AAOI) Stock Price, News & Analysis

Company Overview

Applied Optoelectronics, Inc. (NASDAQ: AAOI) develops and manufactures fiber-optic networking products used to transmit data across broadband, data center, telecommunications and wireless networks. Its portfolio includes optical transceivers, modules, lasers, components and networking equipment designed for high-speed communications infrastructure.

The company serves communications service providers, cable television and broadband operators, internet content providers, data center operators and telecommunications customers. Applied Optoelectronics develops products for applications including fiber-to-the-home access networks, cable broadband systems, data center interconnects and other optical communications uses.

Founded in 1997 and headquartered in Sugar Land, Texas, Applied Optoelectronics has historically emphasized vertical integration, including the design and manufacture of optical components and subsystems. The company serves customers in North America and international markets. Thompson Lin, one of the company’s founders, has served as its president and chief executive officer.

Key Stats

• Today's Range: $97.77 to $108.28
• 50-Day Range: $76.52 to $154.89
• 52-Week Range: $18.50 to $233.67
• Volume: 11.26 million shs
• Average Volume: 6.70 million shs
• Market Capitalization: $9.08 billion
• P/E Ratio: N/A
• Dividend Yield: N/A
• Price Target: $139.40
• Consensus Rating: Hold

Applied Optoelectronics Stock Analysis - MarketRank™

Applied Optoelectronics scored higher than 77% of companies evaluated by MarketBeat, and ranked 173rd out of 596 stocks in the technology sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 4.2 / 5
• Analyst Rating: Hold

Consensus Rating

Applied Optoelectronics has received a consensus rating of Hold. The company's average rating score is 2.33, and is based on no strong buy ratings, 3 buy ratings, 2 hold ratings, and 1 sell rating.

Upside Potential

Applied Optoelectronics has a consensus price target of $139.40, representing about 29.9% upside from its current price of $107.32.

Amount of Analyst Coverage

Applied Optoelectronics has been the subject of 5 research reports in the past 90 days, demonstrating strong analyst interest in this stock.

Earnings and Valuation

• Score: 1.9 / 5
• Proj. Earnings Growth: 578.18%

Earnings Growth

Earnings for Applied Optoelectronics are expected to grow by 578.18% in the coming year, from $0.55 to $3.73 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of Applied Optoelectronics is -137.59, which means that its earnings are negative and its P/E ratio cannot be compared to companies with positive earnings.

Price to Earnings Ratio vs. Sector

The P/E ratio of Applied Optoelectronics is -137.59, which means that its earnings are negative and its P/E ratio cannot be compared to companies with positive earnings.

Price to Book Value per Share Ratio

Applied Optoelectronics has a P/B Ratio of 9.98. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.

Short Interest

• Score: 2.0 / 5
• Short Interest Level: Bearish

Percentage of Shares Shorted

15.13% of the float of Applied Optoelectronics has been sold short.

Short Interest Ratio / Days to Cover

Applied Optoelectronics has a short interest ratio ("days to cover") of 1.97, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Applied Optoelectronics has recently increased by 1.82%, indicating that investor sentiment is decreasing.

Dividend

• Score: 0.0 / 5
• Dividend Strength: N/A

Dividend Yield

Applied Optoelectronics does not currently pay a dividend.

Dividend Growth

Applied Optoelectronics does not have a long track record of dividend growth.

News and Social Media

• Score: 2.7 / 5
• News Sentiment: 0.29

News Sentiment

Applied Optoelectronics has a news sentiment score of 0.29. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a lower news sentiment than the 0.66 average news sentiment score of Technology companies.

News Coverage This Week

MarketBeat has tracked 11 news articles for Applied Optoelectronics this week, compared to 10 articles on an average week.

Search Interest

Only 88 people have searched for AAOI on MarketBeat in the last 30 days. This is a decrease of -40% compared to the previous 30 days.

MarketBeat Follows

33 people have added Applied Optoelectronics to their MarketBeat watchlist in the last 30 days. This is an increase of 32% compared to the previous 30 days.

Company Ownership

• Score: 1.6 / 5
• Insider Trading: Selling Shares

Insider Buying vs. Insider Selling

In the past three months, Applied Optoelectronics insiders have sold more of their company's stock than they have bought. Specifically, they have bought $0.00 in company stock and sold $6,092,409.00 in company stock.

Percentage Held by Insiders

3.80% of the stock of Applied Optoelectronics is held by insiders.

Percentage Held by Institutions

61.70% of the stock of Applied Optoelectronics is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

Company Calendar

• Last Earnings: 8/06/2026
• Today: 10/01/2026
• Next Earnings (Estimated): 11/05/2026
• Fiscal Year End: 12/31/2026

Industry, Sector and Symbol

• Stock Exchange: NASDAQ
• Sector: Technology
• Industry: Communications Equipment
• Sub-Industry: Communications Equipment
• Current Symbol: NASDAQ:AAOI
• CIK: 1158114
• Web: www.ao-inc.com
• Phone: (281) 295-1800
• Fax: N/A
• Employees: 4,691
• Year Founded: 1997

Price Target and Rating

• Average Price Target for Applied Optoelectronics: $139.40
• High Price Target: $220.00
• Low Price Target: $54.00
• Potential Upside/Downside: +29.9%
• Consensus Rating: Hold
• Rating Score (0-4): 2.33
• Research Coverage: 6 Analysts

Profitability

• EPS (Trailing Twelve Months): ($0.78)
• Trailing P/E Ratio: N/A
• Forward P/E Ratio: 195.13
• P/E Growth: N/A
• Net Income: -$38.23 million
• Net Margins: -9.57%
• Pretax Margin: -10.60%
• Return on Equity: -1.98%
• Return on Assets: -1.34%

Debt

• Debt-to-Equity Ratio: 0.12
• Current Ratio: 2.78
• Quick Ratio: 2.13

Sales & Book Value

• Annual Sales: $455.71 million
• Price / Sales: 19.92
• Cash Flow: $0.03 per share
• Price / Cash Flow: 3,984.40
• Book Value: $10.75 per share
• Price / Book: 9.98

Miscellaneous

• Outstanding Shares: 84,570,000
• Free Float: 81,355,000
• Market Cap: $9.08 billion
• Optionable: Optionable
• Beta: 3.85