AXT (NASDAQ:AXTI) Shares Up 8.8% - Here's Why

Key Points

• AXT shares jumped 8.8% intraday to about $67.05, although trading volume was 61% below the average daily volume.
• Recent quarterly results exceeded expectations: AXT reported $0.19 in EPS versus the $0.07 consensus and revenue of $47.59 million versus $34.08 million expected. Analysts’ consensus rating is “Moderate Buy,” with an average price target of $77.
• Insiders have been selling shares: company directors sold 43,005 shares worth approximately $4.27 million over the past 90 days, while institutional investors own 49.52% of the stock.

AXT Inc (NASDAQ:AXTI - Get Free Report)'s share price traded up 8.8% during mid-day trading on Tuesday . The company traded as high as $66.65 and last traded at $67.05. 3,968,627 shares traded hands during trading, a decline of 61% from the average daily volume of 10,288,933 shares. The stock had previously closed at $61.64.

Analyst Ratings Changes

A number of equities analysts have commented on the stock. Northland Securities set a $125.00 price objective on shares of AXT in a research note on Wednesday, June 3rd. Zacks Research raised shares of AXT from a "hold" rating to a "strong-buy" rating in a report on Tuesday, August 11th. Needham & Company LLC raised AXT from a "hold" rating to a "buy" rating and set a $90.00 price objective on the stock in a research note on Friday, July 31st. B. Riley Financial reduced their price objective on AXT from $73.00 to $52.00 and set a "neutral" rating on the stock in a research note on Tuesday, July 28th. Finally, Weiss Ratings raised AXT from a "sell (d-)" rating to a "sell (d+)" rating in a research note on Friday, August 14th. One research analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, one has given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, AXT currently has an average rating of "Moderate Buy" and an average target price of $77.00.

AXT Stock Up 11.3%

The company's 50 day moving average price is $62.44 and its two-hundred day moving average price is $70.94. The firm has a market cap of $4.50 billion, a PE ratio of 3,426.40 and a beta of 1.92.

AXT (NASDAQ:AXTI - Get Free Report) last issued its quarterly earnings results on Thursday, July 30th. The semiconductor company reported $0.19 EPS for the quarter, beating the consensus estimate of $0.07 by $0.12. AXT had a net margin of 3.23% and a return on equity of 0.96%. The company had revenue of $47.59 million for the quarter, compared to the consensus estimate of $34.08 million. AXT has set its Q3 2026 guidance at 0.300-0.320 EPS. On average, analysts expect that AXT Inc will post 0.8 earnings per share for the current fiscal year.

Insider Activity

In related news, Director Jesse Chen sold 13,000 shares of the business's stock in a transaction on Friday, June 12th. The stock was sold at an average price of $95.77, for a total transaction of $1,245,010.00. Following the completion of the transaction, the director owned 56,447 shares in the company, valued at $5,405,929.19. The trade was a 18.72% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Leonard J. Leblanc sold 4,000 shares of the company's stock in a transaction on Monday, August 17th. The shares were sold at an average price of $96.07, for a total value of $384,280.00. Following the completion of the transaction, the director directly owned 113,129 shares in the company, valued at $10,868,303.03. This trade represents a 3.42% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders have sold 43,005 shares of company stock valued at $4,268,916. 5.97% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the stock. Kestra Advisory Services LLC increased its stake in AXT by 6.8% in the 1st quarter. Kestra Advisory Services LLC now owns 6,408 shares of the semiconductor company's stock worth $365,000 after buying an additional 408 shares during the period. American Capital Advisory LLC purchased a new stake in AXT in the 1st quarter valued at about $27,000. Kohmann Bosshard Financial Services LLC bought a new position in AXT in the 1st quarter worth about $31,000. Global Retirement Partners LLC bought a new position in AXT in the 2nd quarter worth about $55,000. Finally, Leonteq Securities AG purchased a new position in shares of AXT during the first quarter worth approximately $57,000. 49.52% of the stock is currently owned by institutional investors.

AXT Company Profile

AXT, Inc NASDAQ: AXTI is a global supplier of compound and single-element semiconductor substrates, offering a range of materials critical for high-performance electronic and optoelectronic devices. Founded in 1986 and headquartered in Fremont, California, AXT specializes in the development, manufacture and distribution of wafers composed of gallium arsenide (GaAs), indium phosphide (InP), gallium nitride (GaN) and other compound semiconductor materials. These substrates serve as the foundational platforms for devices used in data communications, wireless infrastructure, advanced computing, consumer electronics and photovoltaic applications.

AXT's product portfolio encompasses a variety of wafer sizes, dopant concentrations and crystal orientations, tailored to meet the precise specifications of its customers.

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