Applied Optoelectronics (NASDAQ:AAOI) Shares Gap Down - What's Next?

Applied Optoelectronics, Inc. (NASDAQ:AAOI - Get Free Report) gapped down before the market opened on Tuesday . The stock had previously closed at $25.83, but opened at $24.00. Applied Optoelectronics shares last traded at $25.75, with a volume of 1,550,005 shares changing hands.

Analysts Set New Price Targets

A number of analysts have recently issued reports on AAOI shares. B. Riley cut shares of Applied Optoelectronics from a "neutral" rating to a "sell" rating and set a $14.00 price objective for the company. in a research note on Tuesday, December 10th. StockNews.com upgraded Applied Optoelectronics to a "sell" rating in a research report on Friday, January 31st. Raymond James increased their price objective 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. Northland Securities reiterated an "outperform" rating and set a $40.00 price objective (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 shares of Applied Optoelectronics from $27.50 to $44.00 and gave the stock a "buy" rating in a research report on Friday, December 13th. Two research analysts have rated the stock with a sell rating, one has issued a hold rating and three have issued a buy rating to the company. According to MarketBeat.com, the company has a consensus rating of "Hold" and a consensus target price of $29.20.

Applied Optoelectronics Stock Performance

The company has a quick ratio of 1.06, a current ratio of 1.61 and a debt-to-equity ratio of 0.36. The company has a market capitalization of $1.39 billion, a PE ratio of -14.37 and a beta of 2.36. The business has a 50 day simple moving average of $33.59 and a 200 day simple moving average of $22.01.

Insider Activity at Applied Optoelectronics

In related news, insider Hung-Lun (Fred) Chang sold 20,323 shares of Applied Optoelectronics stock in a transaction dated Wednesday, November 20th. The stock was sold at an average price of $30.35, for a total transaction of $616,803.05. Following the completion of the sale, the insider now owns 195,572 shares of the company's stock, valued at $5,935,610.20. The trade was a 9.41 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CFO Stefan J. Murry sold 5,000 shares of the stock in a transaction that occurred on Wednesday, November 20th. The stock was sold at an average price of $31.56, for a total transaction of $157,800.00. Following the completion of the transaction, the chief financial officer now owns 216,129 shares in the company, valued at approximately $6,821,031.24. This trade represents a 2.26 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 93,067 shares of company stock valued at $3,243,938 in the last three months. 5.40% of the stock is owned by insiders.

Institutional Trading of Applied Optoelectronics

Institutional investors and hedge funds have recently bought and sold shares of the business. CloudAlpha Capital Management Limited Hong Kong acquired a new stake in shares of Applied Optoelectronics during the 4th quarter worth approximately $13,379,000. Chung Wu Investment Group LLC purchased a new stake in shares of Applied Optoelectronics during the fourth quarter worth approximately $262,000. Raymond James Financial Inc. acquired a new stake in shares of Applied Optoelectronics in the fourth quarter valued at about $6,556,000. Arizona State Retirement System lifted its stake in Applied Optoelectronics by 5.7% in the 4th quarter. Arizona State Retirement System now owns 11,246 shares of the semiconductor company's stock worth $415,000 after purchasing an additional 603 shares in the last quarter. Finally, Charles Schwab Investment Management Inc. boosted its position in shares of Applied Optoelectronics by 8.7% during the 4th quarter. Charles Schwab Investment Management Inc. now owns 118,249 shares of the semiconductor company's stock valued at $4,359,000 after acquiring an additional 9,435 shares during the last quarter. 61.72% of the stock is currently owned by institutional investors and hedge funds.

About Applied Optoelectronics

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.