Caitong International Asset Management Co. Ltd Makes New Investment in Applied Optoelectronics, Inc. (NASDAQ:AAOI)

Key Points

• Caitong International Asset Management Co. Ltd acquired 23,228 shares of Applied Optoelectronics, valued at approximately $357,000, during the first quarter.
• Applied Optoelectronics recently reported quarterly earnings of ($0.16) EPS, missing analysts' estimates, while revenue grew by 137.9% year-over-year.
• Despite recent struggles, analysts have mixed ratings on the stock, with a consensus price target of $27.20 and a distribution of buy, hold, and sell recommendations.

Caitong International Asset Management Co. Ltd purchased a new stake in shares of Applied Optoelectronics, Inc. (NASDAQ:AAOI - Free Report) in the first quarter, according to the company in its most recent disclosure with the SEC. The institutional investor purchased 23,228 shares of the semiconductor company's stock, valued at approximately $357,000.

A number of other hedge funds and other institutional investors have also bought and sold shares of AAOI. Nomura Holdings Inc. purchased a new position in shares of Applied Optoelectronics during the 4th quarter worth approximately $31,331,000. Jefferies Financial Group Inc. purchased a new position in shares of Applied Optoelectronics during the 4th quarter worth approximately $23,354,000. Assenagon Asset Management S.A. grew its holdings in shares of Applied Optoelectronics by 182.7% during the 1st quarter. Assenagon Asset Management S.A. now owns 976,520 shares of the semiconductor company's stock worth $14,990,000 after acquiring an additional 631,128 shares during the period. Voloridge Investment Management LLC purchased a new position in shares of Applied Optoelectronics during the 4th quarter worth approximately $13,035,000. Finally, Vanguard Group Inc. grew its holdings in shares of Applied Optoelectronics by 14.4% during the 1st quarter. Vanguard Group Inc. now owns 2,779,563 shares of the semiconductor company's stock worth $42,666,000 after acquiring an additional 350,145 shares during the period. Institutional investors own 61.72% of the company's stock.

Insider Activity

In other news, CFO Stefan J. Murry sold 12,000 shares of the stock in a transaction on Friday, August 15th. The stock was sold at an average price of $22.37, for a total transaction of $268,440.00. Following the transaction, the chief financial officer directly owned 298,477 shares of the company's stock, valued at $6,676,930.49. This represents a 3.87% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, CEO Chih-Hsiang (Thompson) Lin bought 8,850 shares of the firm's stock in a transaction that occurred on Wednesday, August 13th. The stock was bought at an average cost of $22.53 per share, for a total transaction of $199,390.50. Following the completion of the acquisition, the chief executive officer owned 1,652,165 shares in the company, valued at $37,223,277.45. This trade represents a 0.54% increase in their position. The disclosure for this purchase can be found here. Over the last three months, insiders purchased 44,100 shares of company stock worth $1,000,878 and sold 32,784 shares worth $741,217. 4.50% of the stock is owned by corporate insiders.

Wall Street Analysts Forecast Growth

A number of research firms have weighed in on AAOI. Rosenblatt Securities upped their target price on Applied Optoelectronics from $30.00 to $34.00 and gave the stock a "buy" rating in a report on Thursday, June 26th. Northland Securities set a $30.00 price target on Applied Optoelectronics in a research note on Friday, August 8th. B. Riley restated a "neutral" rating and issued a $15.00 price target (up previously from $13.00) on shares of Applied Optoelectronics in a research note on Friday, August 8th. Needham & Company LLC assumed coverage on Applied Optoelectronics in a research note on Friday, July 25th. They issued a "buy" rating and a $32.00 price target on the stock. Finally, Raymond James Financial upped their price target on Applied Optoelectronics from $18.00 to $25.00 and gave the stock an "outperform" rating in a research note on Friday, August 8th. One research analyst has rated the stock with a sell rating, two have assigned a hold rating and four have issued a buy rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of "Hold" and an average target price of $27.20.

Applied Optoelectronics Stock Up 6.4%

AAOI stock traded up $1.35 during midday trading on Friday, hitting $22.36. The company's stock had a trading volume of 4,202,932 shares, compared to its average volume of 5,067,919. The company has a market cap of $1.39 billion, a PE ratio of -6.65 and a beta of 2.72. Applied Optoelectronics, Inc. has a 12 month low of $8.22 and a 12 month high of $44.50. The company has a current ratio of 2.11, a quick ratio of 1.47 and a debt-to-equity ratio of 0.36. The firm's 50-day moving average is $23.91 and its 200-day moving average is $20.26.

Applied Optoelectronics (NASDAQ:AAOI - Get Free Report) last released its quarterly earnings results on Thursday, August 7th. The semiconductor company reported ($0.16) earnings per share for the quarter, missing the consensus estimate of ($0.08) by ($0.08). The firm had revenue of $102.95 million for the quarter, compared to the consensus estimate of $104.96 million. Applied Optoelectronics had a negative net margin of 42.29% and a negative return on equity of 10.60%. Applied Optoelectronics's quarterly revenue was up 137.9% compared to the same quarter last year. During the same period in the previous year, the company earned ($0.28) earnings per share. On average, equities research analysts forecast that Applied Optoelectronics, Inc. will post -1.18 earnings per share for the current fiscal year.

Applied Optoelectronics 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.