Checking the True Picture for Applied Optoelectronics, Inc. (AAOI)

On Monday, shares of Applied Optoelectronics, Inc. (NASDAQ:AAOI) marked $10.71 per share versus a previous $10.70 closing price. With having a 0.09% gain, an insight into the fundamental values of Applied Optoelectronics, Inc., investors would also find a great ally in the technical patterns of the stock movements showed in stock charts. AAOI showed a fall of -30.59% within its YTD performance, with highs and lows between $8.34 – $21.92 during the period of 52 weeks, compared to the simple moving average of -1.85% in the period of the last 200 days.

Rosenblatt equity researchers changed the status of Applied Optoelectronics, Inc. (NASDAQ: AAOI) shares from “Neutral” to a “Buy” rating in the report published on November 5th, 2019. Other analysts, including JP Morgan, also published their reports on AAOI shares. JP Morgan repeated the rating from the previous report, marking AAOI under “Underweight” rating, in the report published on October 22nd, 2019. Additionally, AAOI shares got another “Neutral” rating from JP Morgan, setting a target price of $11 on the company’s shares, according to the report published in July 29th, 2019. On June 27th, 2019, Rosenblatt Upgrade an Neutral rating and increased its price target to $10. On the other hand, Raymond James Downgrade the “Mkt Perform” rating for AAOI shares, as published in the report on February 22nd, 2019. Needham seems to be going bullish on the price of AAOI shares, based on the price prediction for AAOI. Another “Neutral” rating came from DA Davidson, providing a prediction for price target according to the report published in February 22nd, 2019.

Applied Optoelectronics, Inc. (AAOI) Analysis

The present dividend yield for AAOI owners is set at 0, marking the return investors will get regardless of the company’s performance in the upcoming period. In addition, the growth of sales from quarter to quarter is recording -18.30%, hinting the company’s progress in the upcoming progress.

In order to gain a clear insight on the performance of Applied Optoelectronics, Inc. (AAOI) as it may occur in the future, there are more than several well-rounded types of analysis and research techniques, while equity is most certainly one of the more important indicators into the company’s growth and performance. In this case, you want to make sure that the return on the present equity of -12.40% is enough for you to make a profit out of your investment. You may also count in the quick ratio of the company, currently set at 1.70 so you would make sure that the company is able to cover the debts it may have, which can be easily seen in annual reports of the company.

Set to affect the volatility of a given stock, the average volume can also be a valuable indicator, while AAOI is currently recording an average of 627.43K in volumes. The volatility of the stock on monthly basis is set at 6.57%, while the weekly volatility levels are marked at 4.36%with 4.59% of gain in the last seven days. Additionally, long-term investors are predicting the target price of $10.07, indicating growth from the present price of $10.71, which can represent yet another valuable research and analysis points that can help you decide whether to invest in AAOI or pass.

What to Look for When Analyzing Applied Optoelectronics, Inc. Shares?

Applied Optoelectronics, Inc. (AAOI) is based in the USA and it represents one of the well-known company operating with Technology sector. If you wish to compare AAOI shares with other companies under Electronic Equipment and Consumer Goods, a factor to note is the P/E value of for Applied Optoelectronics, Inc., while the value can represent an indicator in the future growth of the company in terms of investor’s expectations. The later value should have a steady growth rate, increasing and growing gradually, which serves the purpose of reliably showcasing the progress of the company. The value -1.88 is supported by the yearly ESP growth of -100.50%.

Besides from looking into the fundamentals, you should also note the number of people inside the company owning the shares, as the values should be in line with the expectations of investors. In that spirit, the present ownership of stocks inside the company is set at 7.40%, which can provide you with an insight of how involved executives are in owning shares of the company. In oppose to the executives’ share, the institutional ownership counts 63.80% of shares, carrying an equal significance as an indicator of value, as the presence of large investors may signal a strong company.

Are Institutional Investors Increasing Stakes in AAOI Shares?

It appears that more than several institutional investors and hedge funds decided to increase stakes in AAOI in the recent period. That is how BlackRock Fund Advisors now has an increase position in AAOI by 1.69% in the first quarter, owning 2.82 million shares of AAOI stocks, with the value of $26.41 million after the purchase of an additional 46,911 shares during the last quarter. In the meanwhile, The Vanguard Group, Inc. also increased their stake in AAOI shares changed 0.47% in the first quarter, which means that the company now owns 1.16 million shares of company, all valued at $10.89 million after the acquisition of additional 5,413 shares during the last quarter.

SSgA Funds Management, Inc. acquired a new position in Applied Optoelectronics, Inc. during the first quarter, with the value of $5.13 million, and Royce & Associates LP increased their stake in the company’s shares by 2.24% in the first quarter, now owning 10,800 shares valued at $4.62 million after the acquisition of the additional 493852 shares during the last quarter. In the end, Point72 Asset Management LP increased their position by 0.00% during the first quarter, now owning 419100 AAOI shares, now holding the value of $3.92 million in AAOI with the purchase of the additional 119,100 shares during the period of the last quarter. At the present, 63.80% of AAOI shares are in the ownership of institutional investors.