The stock price of Applied Optoelectronics Inc (NASDAQ: AAOI) has jumped by 0.94 compared to previous close of 12.71. Despite this, the company has seen a gain of 31.45% in its stock price over the last five trading days. Seeking Alpha reported 2023-11-09 that Applied Optoelectronics, Inc. (AAOI) Q3 2023 Earnings Call Transcript

Is It Worth Investing in Applied Optoelectronics Inc (NASDAQ: AAOI) Right Now?

Moreover, the 36-month beta value for AAOI is 1.95. Analysts have varying opinions on the stock, with 2 analysts rating it as a “buy,” 0 as “overweight,” 1 as “hold,” and 0 as “sell.”

The average price recommended by analysts for Applied Optoelectronics Inc (AAOI) is $16.75, which is $3.92 above the current market price. The public float for AAOI is 32.51M and currently, short sellers hold a 22.88% of that float. On November 17, 2023, AAOI’s average trading volume was 2.26M shares.

AAOI’s Market Performance

The stock of Applied Optoelectronics Inc (AAOI) has seen a 31.45% increase in the past week, with a 69.93% rise in the past month, and a 0.23% gain in the past quarter. The volatility ratio for the week is 14.33%, and the volatility levels for the past 30 days are at 9.25% for AAOI. The simple moving average for the past 20 days is 46.78% for AAOI’s stock, with a 109.74% simple moving average for the past 200 days.

Analysts’ Opinion of AAOI

Many brokerage firms have already submitted their reports for AAOI stocks, with B. Riley Securities repeating the rating for AAOI by listing it as a “Buy.” The predicted price for AAOI in the upcoming period, according to B. Riley Securities is $11.50 based on the research report published on August 04, 2023 of the current year 2023.

AAOI Trading at 39.41% from the 50-Day Moving Average

After a stumble in the market that brought AAOI to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -21.09% of loss for the given period.

Volatility was left at 9.25%, however, over the last 30 days, the volatility rate increased by 14.33%, as shares surge +72.21% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +4.14% upper at present.

During the last 5 trading sessions, AAOI rose by +31.45%, which changed the moving average for the period of 200-days by +393.46% in comparison to the 20-day moving average, which settled at $9.01. In addition, Applied Optoelectronics Inc saw 578.84% in overturn over a single year, with a tendency to cut further gains.

Insider Trading

Reports are indicating that there were more than several insider trading activities at AAOI starting from Lin Chih-Hsiang (Thompson), who purchase 15,000 shares at the price of $9.79 back on Sep 14. After this action, Lin Chih-Hsiang (Thompson) now owns 1,252,471 shares of Applied Optoelectronics Inc, valued at $146,901 using the latest closing price.

Lin Chih-Hsiang (Thompson), the President and CEO of Applied Optoelectronics Inc, purchase 5,964 shares at $12.44 during a trade that took place back on Sep 06, which means that Lin Chih-Hsiang (Thompson) is holding 1,237,471 shares at $74,165 based on the most recent closing price.

Stock Fundamentals for AAOI

Current profitability levels for the company are sitting at:

• -26.48 for the present operating margin
• +14.82 for the gross margin

The net margin for Applied Optoelectronics Inc stands at -29.80. The total capital return value is set at -15.85, while invested capital returns managed to touch -21.59. Equity return is now at value -33.13, with -15.85 for asset returns.

Based on Applied Optoelectronics Inc (AAOI), the company’s capital structure generated 84.22 points at debt to equity in total, while total debt to capital is 45.72. Total debt to assets is 38.09, with long-term debt to equity ratio resting at 46.03. Finally, the long-term debt to capital ratio is 24.99.

When we switch over and look at the enterprise to sales, we see a ratio of 2.61, with the company’s debt to enterprise value settled at 0.90. The receivables turnover for the company is 3.79 and the total asset turnover is 0.52. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.32.

Conclusion

To wrap up, the performance of Applied Optoelectronics Inc (AAOI) has been better in recent times. The stock has received a bullish of “buy” and “hold” ratings from analysts. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.