A share of Applied Optoelectronics Inc. (NASDAQ:AAOI) closed at $2.82 per share on Thursday, up from $2.60 day before. While Applied Optoelectronics Inc. has overperformed by 8.46%, investors are advised to look at stock chart patterns for technical insight. Within its last year performance, AAOI fell by -31.55%, with highs and lows ranging from $4.56 to $1.48, whereas the simple moving average jumped by 22.39% in the last 200 days.
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On February 25, 2022, Craig Hallum Downgraded Applied Optoelectronics Inc. (NASDAQ: AAOI) to Sell. A report published by Needham on March 02, 2021, Downgraded its rating to ‘Hold’ for AAOI. Needham also reiterated AAOI shares as ‘Buy’, quoting a target price of $9 on the company’s shares in a report dated November 09, 2020. B. Riley Securities Reiterated the rating as Neutral on November 06, 2020, but set its price target from $11 to $9. Northland Capital October 26, 2020d its ‘Under Perform’ rating to ‘Market Perform’ for AAOI, as published in its report on October 26, 2020. Needham also rated the stock as ‘Buy’.
Analysis of Applied Optoelectronics Inc. (AAOI)
Further, the quarter-over-quarter increase in sales is 6.40%, showing a positive trend in the upcoming months.
Applied Optoelectronics Inc.’s future performance can be predicted by a variety of well-rounded types of analysis and research, with equity being one of the most crucial ones. The goal here is to ensure that your current return on equity of -26.60% is sufficient for you to turn a profit off your investment. Taking into account the quick ratio of the company, currently set at 0.70, you can see that the company can cover any debts it may have, which can easily be seen in the annual report of the company.
For any stock, average volume can be an extremely valuable indicator of volatility, and AAOI is registering an average volume of 164.30K. On a monthly basis, the volatility of the stock is set at 7.28%, whereas on a weekly basis, it is put at 8.94%, with a gain of 28.18% over the past seven days. Furthermore, long-term investors anticipate a median target price of $4.83, showing growth from the present price of $2.82, which can serve as yet another indication of whether AAOI is worth investing in or should be passed over.
How Do You Analyze Applied Optoelectronics Inc. Shares?
Besides checking the fundamentals, you should also know how many employees own shares in the company. This is because the values should be in line with investors’ expectations. As such, the current holdings of company stock inside the company are set at 8.30%. This can enable you to see the extent to which executives own the company’s stock. As opposed to executive stock, institutional ownership accounts for 33.70% of the company’s shares, contributing to an indication of company value, since large shareholders may signify strength within the organization.
Are institutional investors increasing their holdings in AAOI shares?
The recent increase in stakes in AAOI appears to be a result of several institutional investors and hedge funds increasing their positions. Columbia Management Investment Ad’s position in AAOI has decreased by -21.24% in the first quarter. The company now owns 1,395,773 shares of the stock, with a value of $2.64 million, following the sale of -376,420 additional shares during the last quarter. The Vanguard Group, Inc. made another decreased to its shares in AAOI during the first quarter, downing its stake by -2.25%. During the last quarter, the company dropped down -27,511 additional shares for a total stake of worth $2.26 million, bringing number of shares owned by the company to 1,195,195.
During the first quarter, Kovack Advisors, Inc. subtracted a -152,176 position in AAOI. BlackRock Fund Advisors sold an additional 6013.0 shares in the last quarter, decreasing its holdings by -0.82%, now holding 0.72 million shares worth $1.37 million. AAOI shares are owned by institutional investors to the tune of 33.70% at present.
