Aehr Test Systems (NASDAQ:AEHR) Shares Gap Down - Here's What Happened

Key Points

• Aehr Test Systems shares gapped down from a prior close of $96.93 to open at $93.96, before trading near $97.26 on volume of approximately 296,000 shares.
• Analyst sentiment remains broadly positive: MarketBeat reports a “Moderate Buy” consensus and a $132.50 average price target, although Zacks Research downgraded the stock to “Hold.”
• Insiders have sold 109,475 shares worth approximately $13.8 million over the past 90 days, while institutional investors and hedge funds hold roughly 69.69% of the company.

Aehr Test Systems (NASDAQ:AEHR - Get Free Report)'s share price gapped down before the market opened on Tuesday . The stock had previously closed at $96.93, but opened at $93.96. Aehr Test Systems shares last traded at $97.2620, with a volume of 296,347 shares trading hands.

Analyst Upgrades and Downgrades

A number of analysts recently issued reports on the company. Oppenheimer began coverage on Aehr Test Systems in a report on Thursday, September 10th. They issued an "outperform" rating and a $120.00 price target for the company. Zacks Research lowered Aehr Test Systems from a "strong-buy" rating to a "hold" rating in a research report on Monday, September 14th. Craig Hallum reiterated a "buy" rating and issued a $125.00 target price on shares of Aehr Test Systems in a report on Wednesday, July 15th. Jefferies Financial Group initiated coverage on Aehr Test Systems in a report on Thursday, August 13th. They issued a "buy" rating and a $175.00 price objective for the company. Finally, Wall Street Zen raised shares of Aehr Test Systems from a "sell" rating to a "hold" rating in a research note on Saturday, July 18th. One analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus price target of $132.50.

Aehr Test Systems Price Performance

The firm has a market capitalization of $3.19 billion, a P/E ratio of -406.87 and a beta of 3.06. The stock's fifty day simple moving average is $93.43 and its 200 day simple moving average is $83.18.

Insider Activity

In related news, Director Howard Slayen sold 20,000 shares of the stock in a transaction that occurred on Tuesday, August 4th. The shares were sold at an average price of $108.30, for a total transaction of $2,166,000.00. Following the completion of the sale, the director owned 146,367 shares of the company's stock, valued at $15,851,546.10. This represents a 12.02% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, EVP Alberto Salamone sold 9,672 shares of the firm's stock in a transaction that occurred on Thursday, August 13th. The shares were sold at an average price of $127.72, for a total transaction of $1,235,307.84. Following the completion of the sale, the executive vice president owned 41,962 shares of the company's stock, valued at approximately $5,359,386.64. This trade represents a 18.73% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 109,475 shares of company stock worth $13,827,160 over the last 90 days. 4.60% of the stock is currently owned by insiders.

Institutional Trading of Aehr Test Systems

A number of institutional investors have recently made changes to their positions in AEHR. Advocate Investing Services LLC acquired a new stake in Aehr Test Systems in the second quarter worth about $26,000. Nykredit A S acquired a new position in shares of Aehr Test Systems during the second quarter valued at about $28,000. KBC Group NV purchased a new position in shares of Aehr Test Systems in the 1st quarter valued at approximately $30,000. Compagnie Lombard Odier SCmA purchased a new position in shares of Aehr Test Systems in the 2nd quarter valued at approximately $34,000. Finally, Tema ETFs LLC acquired a new stake in Aehr Test Systems in the 2nd quarter worth approximately $89,000. Institutional investors and hedge funds own 69.69% of the company's stock.

About Aehr Test Systems

Aehr Test Systems NASDAQ: AEHR develops and manufactures semiconductor test and burn-in equipment used to verify the reliability and performance of integrated circuits, wafers and packaged devices. Its systems are designed to identify defects and reliability issues before semiconductor products are shipped to customers.

The company's product portfolio includes the FOX family of test and burn-in systems, along with wafer-level and packaged-device solutions such as WaferPak contactors and DiePak carriers.

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