Applied Optoelectronics (NASDAQ:AAOI) Trading Up 6.9% – Should You Buy?

Applied Optoelectronics, Inc. (NASDAQ:AAOI) was up 6.9% on Wednesday . The stock traded as high as $28.51 and last traded at $29.00. Approximately 678,734 shares traded hands during trading, a decline of 77% from the average daily volume of 2,949,168 shares. The stock had previously closed at $27.12.

Analyst Upgrades and Downgrades

Several analysts have recently issued reports on AAOI shares. StockNews.com upgraded Applied Optoelectronics to a “sell” rating in a research note on Friday, January 31st. Raymond James boosted their target price on shares of Applied Optoelectronics from $17.00 to $39.00 and gave the stock an “outperform” rating in a research report on Friday, December 20th. B. Riley cut Applied Optoelectronics from a “neutral” rating to a “sell” rating and set a $14.00 price objective for the company. in a research report on Tuesday, December 10th. Northland Securities reaffirmed an “outperform” rating and issued a $40.00 target price (up previously from $25.00) on shares of Applied Optoelectronics in a report on Wednesday, December 18th. Finally, Rosenblatt Securities upped their price target on Applied Optoelectronics from $27.50 to $44.00 and gave the stock a “buy” rating in a report on Friday, December 13th. Two investment analysts have rated the stock with a sell rating, one has assigned a hold rating and three have issued a buy rating to the company’s stock. According to MarketBeat.com, Applied Optoelectronics currently has an average rating of “Hold” and an average target price of $29.20.

Applied Optoelectronics Trading Up 5.4 %

The stock has a market cap of $1.34 billion, a P/E ratio of -13.86 and a beta of 2.36. The business’s 50 day simple moving average is $33.87 and its 200 day simple moving average is $21.91. The company has a debt-to-equity ratio of 0.36, a current ratio of 1.61 and a quick ratio of 1.06.

Insider Activity at Applied Optoelectronics

In other news, insider Hung-Lun (Fred) Chang sold 20,323 shares of the firm’s stock in a transaction dated Wednesday, November 20th. The shares were sold at an average price of $30.35, for a total value of $616,803.05. Following the transaction, the insider now owns 195,572 shares of the company’s stock, valued at approximately $5,935,610.20. This trade represents a 9.41 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider David C. Kuo sold 10,000 shares of the firm’s stock in a transaction dated Friday, November 8th. The stock was sold at an average price of $26.93, for a total value of $269,300.00. Following the transaction, the insider now owns 118,122 shares in the company, valued at approximately $3,181,025.46. This trade represents a 7.81 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 103,067 shares of company stock valued at $3,513,238 in the last 90 days. 5.40% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Pingora Partners LLC bought a new stake in Applied Optoelectronics in the third quarter valued at approximately $82,000. FMR LLC raised its stake in Applied Optoelectronics by 3,290.6% during the 3rd quarter. FMR LLC now owns 6,137 shares of the semiconductor company’s stock worth $88,000 after buying an additional 5,956 shares during the period. New York State Common Retirement Fund lifted its holdings in Applied Optoelectronics by 131.5% during the fourth quarter. New York State Common Retirement Fund now owns 12,500 shares of the semiconductor company’s stock worth $461,000 after acquiring an additional 7,100 shares in the last quarter. Oppenheimer & Co. Inc. acquired a new position in Applied Optoelectronics in the third quarter valued at about $186,000. Finally, The Manufacturers Life Insurance Company acquired a new stake in shares of Applied Optoelectronics during the second quarter worth about $118,000. Institutional investors 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.