Applied Optoelectronics (NASDAQ:AAOI) Trading Down 6.4% – Time to Sell?

Applied Optoelectronics, Inc. (NASDAQ:AAOI)’s share price was down 6.4% during mid-day trading on Wednesday . The company traded as low as $34.52 and last traded at $34.64. Approximately 1,058,320 shares were traded during trading, a decline of 60% from the average daily volume of 2,637,886 shares. The stock had previously closed at $37.02.

Analysts Set New Price Targets

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

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 cap of $1.65 billion, a PE ratio of -16.82 and a beta of 1.96. The company has a 50-day moving average of $20.04 and a 200-day moving average of $13.55.

Insiders Place Their Bets

In other news, insider David C. Kuo sold 10,000 shares of the stock in a transaction on Friday, November 8th. The stock was sold at an average price of $26.93, for a total transaction of $269,300.00. Following the transaction, the insider now directly owns 118,122 shares of the company’s stock, valued at $3,181,025.46. This represents a 7.81 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, insider Hung-Lun (Fred) Chang sold 20,323 shares of Applied Optoelectronics stock in a transaction that occurred on Wednesday, November 20th. The shares were sold at an average price of $30.35, for a total transaction of $616,803.05. Following the transaction, the insider now directly owns 195,572 shares in the company, valued at $5,935,610.20. This represents a 9.41 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 58,817 shares of company stock valued at $1,687,174 over the last 90 days. Insiders own 5.40% of the company’s stock.

Institutional Trading of Applied Optoelectronics

A number of institutional investors have recently modified their holdings of the company. CANADA LIFE ASSURANCE Co purchased a new position in shares of Applied Optoelectronics in the 1st quarter valued at about $46,000. Zurcher Kantonalbank Zurich Cantonalbank grew its stake in shares of Applied Optoelectronics by 272.1% in the 2nd quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 9,281 shares of the semiconductor company’s stock valued at $77,000 after buying an additional 6,787 shares during the period. Pingora Partners LLC acquired a new stake in Applied Optoelectronics during the third quarter worth $82,000. FMR LLC increased its position in shares of Applied Optoelectronics by 3,290.6% during the 3rd quarter. FMR LLC now owns 6,137 shares of the semiconductor company’s stock worth $88,000 after purchasing an additional 5,956 shares during the last quarter. Finally, Point72 Hong Kong Ltd purchased a new stake in shares of Applied Optoelectronics in the 2nd quarter valued at approximately $89,000. 61.72% of the stock is currently owned by institutional investors.

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.