Applied Optoelectronics (NASDAQ:AAOI) Insider Sells $3,649,100.00 in Stock

Applied Optoelectronics, Inc. (NASDAQ:AAOI) insider Hung-Lun (Fred) Chang sold 36,400 shares of the business’s stock in a transaction that occurred on Monday, March 16th. The shares were sold at an average price of $100.25, for a total value of $3,649,100.00. Following the completion of the sale, the insider directly owned 233,618 shares of the company’s stock, valued at approximately $23,420,204.50. The trade was a 13.48% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link.

Applied Optoelectronics Stock Up 7.3%

AAOI traded up $6.30 during midday trading on Wednesday, hitting $92.63. 15,221,205 shares of the company’s stock traded hands, compared to its average volume of 7,893,263. The company has a debt-to-equity ratio of 0.18, a current ratio of 2.63 and a quick ratio of 1.91. The company has a market cap of $6.97 billion, a PE ratio of -142.51 and a beta of 3.20. The stock’s fifty day simple moving average is $57.78 and its 200-day simple moving average is $39.41. Applied Optoelectronics, Inc. has a one year low of $9.71 and a one year high of $128.96.

Applied Optoelectronics (NASDAQ:AAOI) last posted its earnings results on Thursday, February 26th. The semiconductor company reported ($0.01) EPS for the quarter, topping the consensus estimate of ($0.12) by $0.11. The company had revenue of $134.27 million during the quarter, compared to the consensus estimate of $131.56 million. Applied Optoelectronics had a negative net margin of 8.39% and a negative return on equity of 5.29%. The company’s revenue for the quarter was up 33.9% compared to the same quarter last year. During the same period in the previous year, the firm posted ($0.02) earnings per share. Applied Optoelectronics has set its Q1 2026 guidance at -0.090-0.000 EPS. As a group, equities analysts anticipate that Applied Optoelectronics, Inc. will post -1.18 earnings per share for the current fiscal year.

Key Headlines Impacting Applied Optoelectronics

Here are the key news stories impacting Applied Optoelectronics this week:

• Positive Sentiment: Large hyperscaler demand and AI data‑center interest: coverage notes that AAOI’s lasers and optics are in high demand for AI data centers (NVIDIA and hyperscalers), supporting revenue upside and the company’s 1.6T transceiver ramp. Applied Optoelectronics Rises 7% — NVIDIA’s AI Data Centers Can’t Get Enough of Its Lasers
• Positive Sentiment: CATV amplifier demand — Zacks highlights strong demand for 1.8 GHz amplifiers that could lift CATV revenue and point to sequential improvement into Q1, adding a second growth lever beyond data‑center optics. Will Strong Demand for 1.8 GHz Amplifiers Boost AAOI’s CATV Growth?
• Positive Sentiment: Product/demo momentum — AAOI showcased a 25dBm ultra‑high‑power ELSFP at OFC 2026 and emphasized its roadmap for silicon photonics/NPO/CPO, reinforcing its positioning in next‑gen AI optics. AOI Showcases 25dBm Ultra-High-Power ELSFP as the Foundation for Next-Gen AI Infrastructure at OFC 2026
• Neutral Sentiment: Mixed market coverage and intraday strength: some outlets report shares trading higher amid the broader Nasdaq weakness, reflecting momentum-driven moves rather than new fundamentals. What’s Going On With Applied Optoelectronics Stock?
• Neutral Sentiment: Analyst stance: broker consensus sits around a “Hold,” reflecting divergent views on growth potential vs. execution/valuation risk. Applied Optoelectronics, Inc. (NASDAQ:AAOI) Receives Consensus Recommendation of “Hold” from Brokerages
• Negative Sentiment: Dilution risk and profit‑taking: investors are focused on an at‑the‑market equity program (filing noted for up to $250M) plus recent insider sales, which have heightened dilution concerns and prompted pullbacks after a sharp AI‑driven run. AAOI slides 5.2% as investors weigh dilution risk after a sharp AI-optics-driven run
• Negative Sentiment: Sharp intraday sell‑off context: one headline notes a steep drop despite the major 1.6T transceiver order, illustrating how positive contracts can be offset by market concerns about execution, dilution and sell‑the‑news dynamics. Applied Optoelectronics (AAOI) Is Down 28.4% After Securing Major 1.6T AI Transceiver Order – What’s Changed

Analyst Upgrades and Downgrades

A number of analysts have weighed in on AAOI shares. Northland Securities reaffirmed a “market perform” rating and issued a $55.00 price target on shares of Applied Optoelectronics in a research report on Friday, February 27th. B. Riley Financial raised Applied Optoelectronics from a “sell” rating to a “neutral” rating and set a $54.00 price objective on the stock in a report on Friday, February 27th. Needham & Company LLC boosted their target price on Applied Optoelectronics from $43.00 to $80.00 and gave the stock a “buy” rating in a report on Friday, February 27th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Applied Optoelectronics in a research report on Wednesday, January 21st. Finally, Wall Street Zen upgraded Applied Optoelectronics from a “sell” rating to a “hold” rating in a report on Saturday, February 28th. Three research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, Applied Optoelectronics has a consensus rating of “Hold” and a consensus price target of $52.80.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the business. Invesco Ltd. grew its stake in shares of Applied Optoelectronics by 5,208.9% in the fourth quarter. Invesco Ltd. now owns 3,512,309 shares of the semiconductor company’s stock worth $122,439,000 after acquiring an additional 3,446,150 shares during the last quarter. Price T Rowe Associates Inc. MD raised its stake in Applied Optoelectronics by 5,321.6% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 2,229,757 shares of the semiconductor company’s stock valued at $77,730,000 after purchasing an additional 2,188,630 shares during the last quarter. Morgan Stanley boosted its holdings in Applied Optoelectronics by 157.1% in the 4th quarter. Morgan Stanley now owns 1,699,855 shares of the semiconductor company’s stock valued at $59,257,000 after purchasing an additional 1,038,775 shares during the period. Hawk Ridge Capital Management LP boosted its holdings in Applied Optoelectronics by 106.2% in the 4th quarter. Hawk Ridge Capital Management LP now owns 1,700,900 shares of the semiconductor company’s stock valued at $59,293,000 after purchasing an additional 875,903 shares during the period. Finally, Artemis Investment Management LLP acquired a new stake in Applied Optoelectronics in the 4th quarter worth $26,923,000. 61.70% of the stock is currently owned by institutional investors and hedge funds.

About Applied Optoelectronics

Applied Optoelectronics, Inc develops and manufactures high-speed fiber-optic networking products designed to support the growing bandwidth demands of data centers, telecommunications carriers and internet content providers. The company’s core offerings include pluggable optical transceiver modules, transponders and optical components that enable data transmission at rates ranging from 1G to 400G. These products are used to facilitate long-haul, metro and intra-data center connectivity, addressing the need for scalable, low-latency and energy-efficient solutions in modern network infrastructures.

The company’s product portfolio spans small-form factor pluggable modules such as SFP+, QSFP+ and QSFP28 units, as well as more advanced form factors like CFP2 and OSFP for ultra-high-speed applications.