Applied Optoelectronics (NASDAQ:AAOI) Insider Sells $4,855,000.00 in Stock

Applied Optoelectronics, Inc. (NASDAQ:AAOI) insider Shu-Hua (Joshua) Yeh sold 50,000 shares of Applied Optoelectronics stock in a transaction that occurred on Monday, March 9th. The stock was sold at an average price of $97.10, for a total value of $4,855,000.00. Following the completion of the transaction, the insider directly owned 322,051 shares in the company, valued at approximately $31,271,152.10. This represents a 13.44% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link.

Applied Optoelectronics Trading Up 8.9%

NASDAQ:AAOI traded up $9.87 on Tuesday, reaching $120.49. 13,570,868 shares of the stock traded hands, compared to its average volume of 7,110,200. The company has a current ratio of 2.63, a quick ratio of 1.91 and a debt-to-equity ratio of 0.18. Applied Optoelectronics, Inc. has a 1-year low of $9.71 and a 1-year high of $127.39. The company’s 50 day moving average is $49.55 and its 200-day moving average is $36.01. The firm has a market capitalization of $9.06 billion, a price-to-earnings ratio of -185.37 and a beta of 3.19.

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

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on AAOI. 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 research note on Friday, February 27th. Rosenblatt Securities reaffirmed a “buy” rating and set a $50.00 target price on shares of Applied Optoelectronics in a research note on Thursday, February 19th. Wall Street Zen upgraded Applied Optoelectronics from a “sell” rating to a “hold” rating in a report on Saturday, February 28th. Needham & Company LLC boosted their price target on Applied Optoelectronics from $43.00 to $80.00 and gave the company a “buy” rating in a research note on Friday, February 27th. Finally, Northland Securities restated a “market perform” rating and set a $55.00 price target on shares of Applied Optoelectronics in a report on Friday, February 27th. Three equities research analysts have rated the stock with a Buy rating, three have given a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, the company has an average rating of “Hold” and a consensus target price of $52.80.

Key Applied Optoelectronics News

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

• Positive Sentiment: Company announced its first volume order for 1.6T data‑center transceivers from a major hyperscale customer — a clear commercial validation that supports revenue scaling into 2026. AOI Receives First Volume Order of 1.6T Data Center Transceivers from Major Hyperscale Customer
• Positive Sentiment: Reported Q4 2025 results: revenue beat and quarter-over-quarter growth (revenue $134.3M), gross margin expansion — results support the narrative that AAOI can scale into larger hyperscaler programs. Applied Optoelectronics, Inc. (AAOI) Posts Fourth Quarter and Full Year 2025 Results
• Positive Sentiment: Multiple analyst pieces highlight 800G ramps, upcoming 1.6T demand and new Texas capacity as catalysts for a potential >$1B revenue path in 2026 if execution and order timing hold. AAOI Bets on 800G Ramp, 1.6T Optics & Texas Scale to Power AI Growth
• Positive Sentiment: Analysts note a massive share run this past year (700%+) and emphasize that continued execution on hyperscaler ramps could sustain the rally. Applied Optoelectronics: After a 700% Run, Can Execution Keep Up?
• Neutral Sentiment: Short‑interest reports in early March appear to show zero shares (likely a reporting anomaly), so current short‑interest data provide no clear signal about bearish positioning.
• Negative Sentiment: Risk flags: analysts warn rising costs, tariff exposure and the timing of hyperscaler orders could hurt margins and growth conversion; company guidance for Q1 2026 includes negative EPS range and consensus still models a loss for the year. AAOI Stock Surges 129% in a Month: Should You Buy, Sell or Hold?

Hedge Funds Weigh In On Applied Optoelectronics

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its stake in shares of Applied Optoelectronics by 10.4% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 25,579 shares of the semiconductor company’s stock valued at $393,000 after buying an additional 2,415 shares in the last quarter. Los Angeles Capital Management LLC acquired a new stake in shares of Applied Optoelectronics in the 2nd quarter worth about $851,000. ProShare Advisors LLC bought a new position in Applied Optoelectronics in the 2nd quarter valued at about $283,000. PNC Financial Services Group Inc. lifted its position in Applied Optoelectronics by 3,828.0% in the 2nd quarter. PNC Financial Services Group Inc. now owns 8,838 shares of the semiconductor company’s stock valued at $227,000 after acquiring an additional 8,613 shares in the last quarter. Finally, Geode Capital Management LLC boosted its stake in Applied Optoelectronics by 18.8% during the 2nd quarter. Geode Capital Management LLC now owns 1,285,693 shares of the semiconductor company’s stock valued at $33,034,000 after purchasing an additional 203,830 shares during the last quarter. Institutional investors own 61.70% of the company’s stock.

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.