Applied Optoelectronics (NASDAQ:AAOI) Sees Strong Trading Volume – Still a Buy?

Shares of Applied Optoelectronics, Inc. (NASDAQ:AAOI) saw strong trading volume on Thursday . 2,289,524 shares traded hands during mid-day trading, a decline of 12% from the previous session’s volume of 2,613,313 shares.The stock last traded at $37.80 and had previously closed at $34.07.

Analyst Ratings Changes

A number of research analysts have commented on AAOI shares. Northland Securities increased their price objective on shares of Applied Optoelectronics from $18.00 to $25.00 and gave the company an “outperform” rating in a research note on Friday, November 8th. B. Riley Financial reiterated a “neutral” rating and issued a $9.00 price target on shares of Applied Optoelectronics in a research note on Thursday, August 8th. StockNews.com upgraded Applied Optoelectronics to a “sell” rating in a research note on Friday, October 25th. Raymond James lifted their target price on Applied Optoelectronics from $17.00 to $23.00 and gave the stock an “outperform” rating in a research report on Friday, November 8th. Finally, Rosenblatt Securities upped their price target on Applied Optoelectronics from $20.00 to $27.50 and gave the company a “buy” rating in a research report on Friday, November 8th. One research analyst has rated the stock with a sell rating, two have assigned a hold rating and three have given a buy rating to the company. Based on data from MarketBeat.com, Applied Optoelectronics has a consensus rating of “Hold” and a consensus price target of $18.70.

Applied Optoelectronics Price Performance

The company has a debt-to-equity ratio of 0.36, a current ratio of 1.61 and a quick ratio of 1.06. The company has a fifty day moving average price of $19.08 and a 200 day moving average price of $13.15. The company has a market capitalization of $1.71 billion, a P/E ratio of -18.44 and a beta of 1.96.

Insider Activity at Applied Optoelectronics

In other news, insider David C. Kuo sold 10,000 shares of the business’s stock in a transaction on Friday, November 8th. The shares were sold at an average price of $26.93, for a total transaction of $269,300.00. Following the completion of the transaction, the insider now owns 118,122 shares of the company’s stock, valued at approximately $3,181,025.46. The trade was a 7.81 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, Director Elizabeth G. Loboa sold 13,494 shares of the stock in a transaction dated Thursday, November 21st. The stock was sold at an average price of $36.54, for a total transaction of $493,070.76. Following the completion of the sale, the director now directly owns 124,500 shares in the company, valued at approximately $4,549,230. This trade represents a 9.78 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 58,817 shares of company stock worth $1,687,174 in the last 90 days. 5.40% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Applied Optoelectronics

A number of hedge funds have recently made changes to their positions in AAOI. Vanguard Group Inc. increased its position in Applied Optoelectronics by 29.2% in the 1st quarter. Vanguard Group Inc. now owns 1,954,498 shares of the semiconductor company’s stock valued at $27,089,000 after acquiring an additional 442,277 shares during the period. Royce & Associates LP increased its holdings in shares of Applied Optoelectronics by 47.7% during the third quarter. Royce & Associates LP now owns 1,596,545 shares of the semiconductor company’s stock valued at $22,847,000 after purchasing an additional 515,489 shares during the period. Whale Rock Capital Management LLC raised its stake in shares of Applied Optoelectronics by 30.0% during the first quarter. Whale Rock Capital Management LLC now owns 1,333,957 shares of the semiconductor company’s stock valued at $18,489,000 after purchasing an additional 308,172 shares in the last quarter. Westfield Capital Management Co. LP acquired a new stake in Applied Optoelectronics in the third quarter worth about $19,019,000. Finally, Shellback Capital LP bought a new position in Applied Optoelectronics in the 2nd quarter valued at about $8,617,000. 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.