Applied Optoelectronics, Inc. (NASDAQ:AAOI) Receives Average Recommendation of “Hold” from Brokerages

Posted by Geri Gentry on Aug 19th, 2026

Applied Optoelectronics, Inc. (NASDAQ:AAOI – Get Free Report) has been assigned an average recommendation of “Hold” from the six analysts that are currently covering the company, Marketbeat reports. One equities research analyst has rated the stock with a sell recommendation, two have assigned a hold recommendation and three have assigned a buy recommendation to the company. The average twelve-month target price among brokers that have covered the stock in the last year is $139.40.

Several research firms have commented on AAOI. Wall Street Zen raised shares of Applied Optoelectronics from a “sell” rating to a “hold” rating in a research note on Saturday, August 8th. Rosenblatt Securities reaffirmed a “buy” rating and issued a $220.00 price objective on shares of Applied Optoelectronics in a research note on Friday, August 7th. Weiss Ratings lowered shares of Applied Optoelectronics from a “sell (d-)” rating to a “sell (e+)” rating in a report on Monday. Raymond James Financial reiterated an “outperform” rating and issued a $178.00 target price on shares of Applied Optoelectronics in a research report on Tuesday, August 11th. Finally, Needham & Company LLC lowered their price target on shares of Applied Optoelectronics from $220.00 to $190.00 and set a “buy” rating for the company in a research note on Friday, August 7th.

Read Our Latest Stock Report on Applied Optoelectronics

Applied Optoelectronics Price Performance

AAOI opened at $131.41 on Friday. The company has a current ratio of 2.78, a quick ratio of 2.13 and a debt-to-equity ratio of 0.12. The stock has a market capitalization of $11.11 billion, a P/E ratio of -168.47 and a beta of 3.76. The stock has a 50-day moving average price of $130.54 and a 200-day moving average price of $123.66. Applied Optoelectronics has a 12-month low of $18.50 and a 12-month high of $233.67.

Applied Optoelectronics (NASDAQ:AAOI – Get Free Report) last announced its quarterly earnings data on Thursday, August 6th. The semiconductor company reported $0.06 earnings per share for the quarter, beating analysts’ consensus estimates of $0.02 by $0.04. The company had revenue of $191.92 million for the quarter, compared to analysts’ expectations of $190.48 million. Applied Optoelectronics had a negative return on equity of 1.98% and a negative net margin of 9.57%.Applied Optoelectronics’s revenue for the quarter was up 86.3% compared to the same quarter last year. During the same period last year, the firm posted ($0.16) EPS. Applied Optoelectronics has set its Q3 2026 guidance at 0.110-0.260 EPS. Equities analysts predict that Applied Optoelectronics will post 0.6 earnings per share for the current fiscal year.

Insider Activity

In other news, CFO Stefan J. Murry sold 33,000 shares of Applied Optoelectronics stock in a transaction dated Friday, June 12th. The stock was sold at an average price of $166.53, for a total value of $5,495,490.00. Following the transaction, the chief financial officer owned 384,576 shares in the company, valued at approximately $64,043,441.28. The trade was a 7.90% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Hung-Lun (Fred) Chang sold 40,329 shares of the business’s stock in a transaction dated Wednesday, June 17th. The shares were sold at an average price of $170.60, for a total value of $6,880,127.40. Following the completion of the sale, the insider directly owned 286,124 shares of the company’s stock, valued at approximately $48,812,754.40. This trade represents a 12.35% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 323,204 shares of company stock valued at $55,700,961. Company insiders own 3.80% of the company’s stock.

Institutional Trading of Applied Optoelectronics

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. Allworth Financial LP grew its holdings in shares of Applied Optoelectronics by 1,923.7% in the fourth quarter. Allworth Financial LP now owns 769 shares of the semiconductor company’s stock worth $27,000 after purchasing an additional 731 shares during the last quarter. Comerica Bank bought a new stake in Applied Optoelectronics in the 3rd quarter worth $28,000. Northwestern Mutual Wealth Management Co. grew its holdings in Applied Optoelectronics by 166.7% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 1,200 shares of the semiconductor company’s stock worth $42,000 after acquiring an additional 750 shares during the last quarter. EFG International AG purchased a new position in shares of Applied Optoelectronics in the second quarter valued at about $44,000. Finally, Persistent Asset Partners Ltd purchased a new position in shares of Applied Optoelectronics in the second quarter valued at about $47,000. Institutional investors own 61.70% of the company’s stock.

Applied Optoelectronics Company Profile

(Get Free Report)

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.