Applied Optoelectronics (NASDAQ:AAOI) Shares Down 5.9% - Here's Why

Applied Optoelectronics, Inc. (NASDAQ:AAOI - Get Free Report) dropped 5.9% during mid-day trading on Friday . The company traded as low as $15.83 and last traded at $15.93. Approximately 3,049,054 shares changed hands during trading, a decline of 10% from the average daily volume of 3,402,215 shares. The stock had previously closed at $16.92.

Analyst Upgrades and Downgrades

AAOI has been the subject of a number of recent analyst reports. Raymond James decreased their price target on Applied Optoelectronics from $20.00 to $18.00 and set an "outperform" rating for the company in a report on Friday, May 9th. B. Riley raised Applied Optoelectronics from a "sell" rating to a "neutral" rating and set a $13.00 price target for the company in a report on Friday, March 7th. Wall Street Zen downgraded Applied Optoelectronics from a "hold" rating to a "sell" rating in a report on Saturday, June 7th. Rosenblatt Securities boosted their target price on Applied Optoelectronics to $30.00 and gave the company a "buy" rating in a report on Friday, May 9th. Finally, Northland Securities boosted their target price on Applied Optoelectronics to $50.00 and gave the company a "buy" rating in a report on Friday. One analyst has rated the stock with a sell rating, two have assigned a hold rating and three have assigned a buy rating to the company's stock. According to MarketBeat, the company has an average rating of "Hold" and an average price target of $24.00.

Applied Optoelectronics Price Performance

The company has a current ratio of 1.61, a quick ratio of 1.06 and a debt-to-equity ratio of 0.36. The firm has a market capitalization of $859.27 million, a PE ratio of -7.51 and a beta of 2.64. The company has a fifty day moving average price of $15.02 and a two-hundred day moving average price of $23.37.

Applied Optoelectronics (NASDAQ:AAOI - Get Free Report) last issued its quarterly earnings results on Thursday, May 8th. The semiconductor company reported ($0.02) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.04) by $0.02. The firm had revenue of $99.86 million for the quarter, compared to analysts' expectations of $99.37 million. Applied Optoelectronics had a negative return on equity of 22.36% and a negative net margin of 38.61%. The firm's revenue for the quarter was up 145.5% on a year-over-year basis. During the same quarter in the previous year, the firm posted ($0.31) EPS. Sell-side analysts forecast that Applied Optoelectronics, Inc. will post -1.18 earnings per share for the current year.

Insiders Place Their Bets

In other Applied Optoelectronics news, insider Hung-Lun (Fred) Chang sold 23,837 shares of the business's stock in a transaction that occurred on Tuesday, May 13th. The stock was sold at an average price of $19.06, for a total transaction of $454,333.22. Following the transaction, the insider now owns 278,842 shares in the company, valued at approximately $5,314,728.52. The trade was a 7.88% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, CFO Stefan J. Murry sold 2,000 shares of the business's stock in a transaction that occurred on Monday, March 17th. The stock was sold at an average price of $23.06, for a total value of $46,120.00. Following the transaction, the chief financial officer now owns 196,581 shares in the company, valued at $4,533,157.86. The trade was a 1.01% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 39,263 shares of company stock worth $740,590. Company insiders own 4.50% of the company's stock.

Hedge Funds Weigh In On Applied Optoelectronics

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. AlphaQuest LLC boosted its stake in shares of Applied Optoelectronics by 243.9% during the 1st quarter. AlphaQuest LLC now owns 2,297 shares of the semiconductor company's stock worth $35,000 after acquiring an additional 1,629 shares in the last quarter. Meeder Asset Management Inc. purchased a new stake in shares of Applied Optoelectronics during the 4th quarter worth approximately $38,000. Sterling Capital Management LLC boosted its stake in shares of Applied Optoelectronics by 858.2% during the 4th quarter. Sterling Capital Management LLC now owns 1,284 shares of the semiconductor company's stock worth $47,000 after acquiring an additional 1,150 shares in the last quarter. Canada Pension Plan Investment Board purchased a new stake in shares of Applied Optoelectronics during the 4th quarter worth approximately $63,000. Finally, Quantbot Technologies LP purchased a new stake in shares of Applied Optoelectronics during the 1st quarter worth approximately $66,000. Institutional investors and hedge funds own 61.72% of the company's stock.

Applied Optoelectronics Company Profile

Applied Optoelectronics, Inc designs, manufactures, and sells fiber-optic networking products in the United States, Taiwan, and China. It offers optical modules, optical filters, lasers, laser components, subassemblies, transmitters and transceivers, turn-key equipment, headend, node, distribution equipment, and amplifiers.