Applied Optoelectronics (NASDAQ:AAOI) has been analyzed by 4 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.
The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 4 | 0 | 0 | 0 | 0 |
| Last 30D | 1 | 0 | 0 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 0 | 0 | 0 | 0 | 0 |
| 3M Ago | 3 | 0 | 0 | 0 | 0 |
In the assessment of 12-month price targets, analysts unveil insights for Applied Optoelectronics, presenting an average target of $48.25, a high estimate of $50.00, and a low estimate of $43.00. This current average reflects an increase of 11.56% from the previous average price target of $43.25.
Understanding Analyst Ratings: A Comprehensive Breakdown
The standing of Applied Optoelectronics among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Mike Genovese | Rosenblatt | Maintains | Buy | $50.00 | $50.00 |
| Mike Genovese | Rosenblatt | Maintains | Buy | $50.00 | $50.00 |
| Mike Genovese | Rosenblatt | Raises | Buy | $50.00 | $35.00 |
| Ryan Koontz | Needham | Raises | Buy | $43.00 | $38.00 |
Key Insights:
- Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Applied Optoelectronics. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Applied Optoelectronics compared to the broader market.
- Price Targets: Understanding forecasts, analysts offer estimates for Applied Optoelectronics's future value. Examining the current and prior targets provides insight into analysts' changing expectations.
To gain a panoramic view of Applied Optoelectronics's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.
Stay up to date on Applied Optoelectronics analyst ratings.
Unveiling the Story Behind Applied Optoelectronics
Applied Optoelectronics Inc is a provider of fiber-optic networking products, for four networking end-markets; internet data center, CATV, telecom, and FTTH. The Company designs and manufactures a wide range of optical communications products at varying levels of integration, from components, subassemblies, and modules to complete turn-key equipment. Through direct sales personnel, and manufacturing teams in the United States, China, and Taiwan, the company coordinates with customers to determine product design, qualifications, and performance. The Company has manufacturing and research and development facilities located in the U.S., Taiwan, and China.
Applied Optoelectronics's Financial Performance
Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.
Revenue Growth: Applied Optoelectronics's remarkable performance in 3M is evident. As of 30 September, 2025, the company achieved an impressive revenue growth rate of 82.08%. This signifies a substantial increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Information Technology sector.
Net Margin: Applied Optoelectronics's net margin is below industry averages, indicating potential challenges in maintaining strong profitability. With a net margin of -15.12%, the company may face hurdles in effective cost management.
Return on Equity (ROE): Applied Optoelectronics's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of -3.65%, the company may encounter challenges in delivering satisfactory returns for shareholders.
Return on Assets (ROA): Applied Optoelectronics's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of -2.02%, the company may face hurdles in achieving optimal financial performance.
Debt Management: Applied Optoelectronics's debt-to-equity ratio is below the industry average at 0.42, reflecting a lower dependency on debt financing and a more conservative financial approach.
The Core of Analyst Ratings: What Every Investor Should Know
Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.
Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
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