Alpha and Omega Semiconductor (NASDAQ:AOSL) Shares Gap Down – Should You Sell?

Alpha and Omega Semiconductor Limited (NASDAQ:AOSL) gapped down before the market opened on Friday . The stock had previously closed at $39.33, but opened at $38.52. Alpha and Omega Semiconductor shares last traded at $39.17, with a volume of 169,273 shares.

Wall Street Analyst Weigh In

AOSL has been the subject of a number of recent analyst reports. Stifel Nicolaus cut their price objective on shares of Alpha and Omega Semiconductor from $34.00 to $27.00 and set a “sell” rating for the company in a report on Wednesday, November 6th. StockNews.com raised Alpha and Omega Semiconductor from a “sell” rating to a “hold” rating in a report on Tuesday, December 24th. B. Riley reduced their target price on Alpha and Omega Semiconductor from $50.00 to $47.00 and set a “buy” rating for the company in a research note on Tuesday, November 5th. Finally, Benchmark reissued a “buy” rating and issued a $40.00 price target on shares of Alpha and Omega Semiconductor in a report on Wednesday, November 6th.

Alpha and Omega Semiconductor Price Performance

The company has a 50-day moving average of $39.74 and a 200 day moving average of $37.76. The company has a quick ratio of 1.44, a current ratio of 2.65 and a debt-to-equity ratio of 0.03. The stock has a market capitalization of $1.18 billion, a PE ratio of -60.86 and a beta of 2.48.

Alpha and Omega Semiconductor (NASDAQ:AOSL) last issued its earnings results on Monday, November 4th. The semiconductor company reported $0.21 EPS for the quarter, missing analysts’ consensus estimates of $0.22 by ($0.01). Alpha and Omega Semiconductor had a negative net margin of 2.94% and a positive return on equity of 0.19%. The business had revenue of $181.89 million during the quarter, compared to analyst estimates of $180.07 million. During the same quarter last year, the company earned $0.30 earnings per share. Alpha and Omega Semiconductor’s quarterly revenue was up .7% on a year-over-year basis. Sell-side analysts predict that Alpha and Omega Semiconductor Limited will post -0.67 EPS for the current year.

Insider Activity at Alpha and Omega Semiconductor

In related news, Director Lucas S. Chang sold 12,497 shares of Alpha and Omega Semiconductor stock in a transaction that occurred on Tuesday, December 3rd. The shares were sold at an average price of $41.46, for a total value of $518,125.62. Following the completion of the sale, the director now owns 25,204 shares in the company, valued at approximately $1,044,957.84. This trade represents a 33.15 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CFO Yifan Liang sold 31,004 shares of the company’s stock in a transaction on Wednesday, December 4th. The stock was sold at an average price of $49.21, for a total value of $1,525,706.84. Following the transaction, the chief financial officer now owns 265,175 shares in the company, valued at $13,049,261.75. This trade represents a 10.47 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 53,124 shares of company stock valued at $2,500,685. 16.90% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Alpha and Omega Semiconductor

A number of institutional investors have recently modified their holdings of the company. Truvestments Capital LLC purchased a new position in shares of Alpha and Omega Semiconductor in the 3rd quarter valued at about $45,000. Point72 DIFC Ltd purchased a new stake in Alpha and Omega Semiconductor during the second quarter worth about $47,000. Hollencrest Capital Management purchased a new stake in shares of Alpha and Omega Semiconductor in the 3rd quarter worth about $56,000. Point72 Asia Singapore Pte. Ltd. acquired a new stake in shares of Alpha and Omega Semiconductor during the second quarter valued at $62,000. Finally, Farther Finance Advisors LLC grew its stake in Alpha and Omega Semiconductor by 10,937.5% in the 3rd quarter. Farther Finance Advisors LLC now owns 1,766 shares of the semiconductor company’s stock worth $66,000 after acquiring an additional 1,750 shares during the period. 78.97% of the stock is owned by institutional investors and hedge funds.

About Alpha and Omega Semiconductor

Alpha and Omega Semiconductor Limited designs, develops, and supplies power semiconductor products for computing, consumer electronics, communication, and industrial applications in Hong Kong, China, South Korea, the United States, and internationally. It offers power discrete products, including metal-oxide-semiconductor field-effect transistors (MOSFET), SRFETs, XSFET, electrostatic discharge, protected MOSFETs, high and mid-voltage MOSFETs, and insulated gate bipolar transistors for use in smart phone chargers, battery packs, notebooks, desktop and servers, data centers, base stations, graphics card, game boxes, TVs, AC adapters, power supplies, motor control, power tools, E-vehicles, white goods and industrial motor drives, UPS systems, solar inverters, and industrial welding.