Applied Optoelectronics (NASDAQ:AAOI) CFO Sells $685,800.00 in Stock

Key Points

• Applied Optoelectronics CFO Stefan Murry sold 4,000 shares on June 10 at an average price of $171.45, totaling about $685,800. The sale was made under a pre-arranged Rule 10b5-1 trading plan.
• AAOI shares fell 1.3% in Thursday trading to $172.78, though volume was above average. The stock has been highly volatile, with a 12-month range of $15.29 to $233.67.
• Recent operating and analyst signals were mixed: the company missed quarterly EPS and revenue estimates but still posted 51.3% year-over-year revenue growth, while analysts currently have a consensus Hold rating with an average price target of $79.80.

Applied Optoelectronics, Inc. (NASDAQ:AAOI - Get Free Report) CFO Stefan Murry sold 4,000 shares of the stock in a transaction dated Wednesday, June 10th. The shares were sold at an average price of $171.45, for a total value of $685,800.00. Following the completion of the transaction, the chief financial officer owned 447,906 shares in the company, valued at approximately $76,793,483.70. The trade was a 0.89% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Applied Optoelectronics Stock Down 1.3%

Shares of AAOI traded down $2.35 during mid-day trading on Thursday, reaching $172.78. The company's stock had a trading volume of 14,304,224 shares, compared to its average volume of 10,427,586. Applied Optoelectronics, Inc. has a 12-month low of $15.29 and a 12-month high of $233.67. The stock has a market cap of $13.86 billion, a PE ratio of -261.79 and a beta of 3.66. The company has a debt-to-equity ratio of 0.18, a current ratio of 3.83 and a quick ratio of 3.03. The company's 50 day moving average is $160.40 and its 200 day moving average is $90.38.

Applied Optoelectronics (NASDAQ:AAOI - Get Free Report) last released its quarterly earnings data on Thursday, May 7th. The semiconductor company reported ($0.07) EPS for the quarter, missing analysts' consensus estimates of ($0.05) by ($0.02). Applied Optoelectronics had a negative net margin of 8.55% and a negative return on equity of 4.64%. The business had revenue of $151.14 million during the quarter, compared to analysts' expectations of $156.98 million. During the same quarter in the previous year, the company posted ($0.02) EPS. The company's revenue was up 51.3% compared to the same quarter last year. Applied Optoelectronics has set its Q2 2026 guidance at -0.030-0.030 EPS. Equities analysts anticipate that Applied Optoelectronics, Inc. will post 0.6 EPS for the current fiscal year.

Trending Headlines about Applied Optoelectronics

Here are the key news stories impacting Applied Optoelectronics this week:

• Positive Sentiment: Raymond James highlighted major upside potential for Applied Optoelectronics, adding to bullish sentiment around the name. Raymond James sees major upside for Applied Optoelectronics
• Positive Sentiment: The company announced an expanded Spectrum partnership, with AOI’s QuantumLink network management software being deployed across Spectrum’s 1.8GHz amplifier footprint, reinforcing its role in broadband and AI-networking infrastructure. Spectrum Deploys AOI's Intelligent Network Management Software Across Its Connected 1.8GHz Amplifier Footprint
• Positive Sentiment: Shares rallied with other optical-networking stocks as investors rotated back into the AI infrastructure trade, which helped lift AAOI alongside peers such as Lumentum and Coherent. Applied Optoelectronics Jumps 7%, Lumentum Climbs 5%, Coherent Rises 2% as Optics Stocks Ride the AI Boom
• Neutral Sentiment: Several articles framed AAOI as a high-potential AI networking stock, but these were largely commentary pieces rather than new fundamental catalysts. Applied Optoelectronics (AAOI) Is A High Potential AI Networking Stock, Here’s Why You Should Buy It
• Neutral Sentiment: Insider selling by director Shu-Hua (Joshua) Yeh may attract some attention, but the transaction was modest relative to the recent rally. Shu-Hua (Joshua) Yeh Sells 10,000 Shares of Applied Optoelectronics NASDAQ: AAOI Stock
• Negative Sentiment: Analyst and valuation commentary noted that AAOI is trading at a premium multiple versus the broader sector, which could limit upside if growth expectations cool. Is AAOI Stock Worth Betting on at a Premium or Should Investors Wait?
• Negative Sentiment: One report suggested networking stocks, including AAOI, sold off after a delay in a CPO rollout, highlighting execution risk in the optical networking space. Applied Optoelectronics leads networking stocks down following report on CPO rollout delay

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of AAOI. Allworth Financial LP lifted its stake in shares of Applied Optoelectronics by 1,923.7% during the fourth quarter. Allworth Financial LP now owns 769 shares of the semiconductor company's stock worth $27,000 after purchasing an additional 731 shares in the last quarter. Comerica Bank acquired a new position in shares of Applied Optoelectronics in the third quarter worth about $28,000. Northwestern Mutual Wealth Management Co. lifted its stake in shares of Applied Optoelectronics by 166.7% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 1,200 shares of the semiconductor company's stock worth $42,000 after acquiring an additional 750 shares in the last quarter. Kohmann Bosshard Financial Services LLC acquired a new position in shares of Applied Optoelectronics in the fourth quarter worth about $55,000. Finally, Headlands Technologies LLC acquired a new position in shares of Applied Optoelectronics in the second quarter worth about $57,000. Institutional investors and hedge funds own 61.70% of the company's stock.

Analyst Ratings Changes

Several equities analysts have weighed in on the company. Needham & Company LLC raised their price target on Applied Optoelectronics from $43.00 to $80.00 and gave the stock a "buy" rating in a research report on Friday, February 27th. B. Riley Financial upgraded Applied Optoelectronics from a "sell" rating to a "neutral" rating and set a $54.00 target price for the company in a research note on Friday, February 27th. Rosenblatt Securities reiterated a "buy" rating and issued a $50.00 target price on shares of Applied Optoelectronics in a research note on Thursday, February 19th. Raymond James Financial reiterated an "outperform" rating on shares of Applied Optoelectronics in a research note on Wednesday. Finally, Northland Securities reiterated a "market perform" rating and issued a $55.00 target price on shares of Applied Optoelectronics in a research note on Friday, February 27th. Three investment analysts have 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 MarketBeat, the company has a consensus rating of "Hold" and an average price target of $79.80.

About Applied Optoelectronics

Applied Optoelectronics, Inc develops and manufactures high-speed fiber-optic networking products designed to support the growing bandwidth demands of data centers, telecommunications carriers and internet content providers. The company's core offerings include pluggable optical transceiver modules, transponders and optical components that enable data transmission at rates ranging from 1G to 400G. These products are used to facilitate long-haul, metro and intra-data center connectivity, addressing the need for scalable, low-latency and energy-efficient solutions in modern network infrastructures.

The company's product portfolio spans small-form factor pluggable modules such as SFP+, QSFP+ and QSFP28 units, as well as more advanced form factors like CFP2 and OSFP for ultra-high-speed applications.

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