Applied Optoelectronics (NASDAQ:AAOI) Stock: Insider Stefan Murry Sells 4,000 Shares

Applied Optoelectronics, Inc. (NASDAQ:AAOI) CFO Stefan Murry sold 4,000 shares of the stock in a transaction dated Monday, October 12th. The shares were sold at an average price of $102.87, for a total value of $411,480.00. Following the sale, the chief financial officer owned 363,168 shares of the company’s stock, valued at $37,359,092.16. This represents a 1.09% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Applied Optoelectronics Price Performance

AAOI opened at $83.73 on Friday. The company has a debt-to-equity ratio of 0.12, a current ratio of 2.78 and a quick ratio of 2.13. The stock’s 50 day simple moving average is $111.59 and its 200 day simple moving average is $133.30. The firm has a market cap of $7.08 billion, a price-to-earnings ratio of -107.35 and a beta of 3.85. Applied Optoelectronics, Inc. has a 1 year low of $18.50 and a 1 year high of $233.67.

Applied Optoelectronics (NASDAQ:AAOI) last announced its quarterly earnings data on Thursday, August 6th. The semiconductor company reported $0.06 earnings per share for the quarter, beating the consensus estimate of $0.02 by $0.04. The firm had revenue of $191.92 million during the quarter, compared to the consensus estimate of $190.48 million. Applied Optoelectronics had a negative return on equity of 1.98% and a negative net margin of 9.57%. The business’s revenue was up 86.3% on a year-over-year basis. During the same quarter in the previous year, the company posted ($0.16) earnings per share. Applied Optoelectronics has set its Q3 2026 guidance at 0.110-0.260 EPS. As a group, analysts predict that Applied Optoelectronics, Inc. will post 0.55 earnings per share for the current year.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the stock. BlackRock Inc. purchased a new stake in shares of Applied Optoelectronics in the 2nd quarter worth about $955,672,000. William Blair Investment Management LLC bought a new stake in shares of Applied Optoelectronics during the 2nd quarter valued at about $74,703,000. Renaissance Technologies LLC purchased a new position in shares of Applied Optoelectronics during the first quarter valued at about $47,817,000. Bank of America Corp DE purchased a new position in shares of Applied Optoelectronics during the second quarter valued at about $33,712,000. Finally, Bank of New York Mellon Corp purchased a new position in shares of Applied Optoelectronics during the second quarter valued at about $32,567,000. 61.70% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

Several brokerages have weighed in on AAOI. B. Riley Financial dropped their price target on shares of Applied Optoelectronics from $109.00 to $92.00 and set a “neutral” rating for the company in a research report on Thursday. Needham & Company LLC cut their target price on Applied Optoelectronics from $220.00 to $190.00 and set a “buy” rating on the stock in a research note on Friday, August 7th. Rosenblatt Securities restated a “buy” rating and set a $220.00 price target on shares of Applied Optoelectronics in a report on Friday, August 7th. Weiss Ratings lowered Applied Optoelectronics from a “sell (d-)” rating to a “sell (e+)” rating in a research report on Monday, August 17th. Finally, Wall Street Zen raised Applied Optoelectronics from a “sell” rating to a “hold” rating in a research report on Saturday, August 8th. Three investment analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, Applied Optoelectronics currently has a consensus rating of “Hold” and a consensus price target of $147.00.

Key Applied Optoelectronics News

Here are the key news stories impacting Applied Optoelectronics this week:

• Positive Sentiment: Applied Optoelectronics will report third-quarter 2026 results on November 5 and hold an investor conference call covering fourth-quarter guidance. The event could provide updates on AI-related demand, customer orders and profitability. Third-Quarter 2026 Results Conference Call
• Positive Sentiment: The company’s latest reported quarter showed strong operating momentum: revenue increased 86.3% year over year to $191.9 million, while adjusted EPS of $0.06 exceeded the $0.02 consensus estimate. Management’s third-quarter EPS guidance is $0.11 to $0.26.
• Neutral Sentiment: AAOI’s high beta and large prior gains have made it especially sensitive to profit-taking and changes in investor positioning. A technical analysis article suggested the pullback may create a “buy the dip” opportunity, but this does not address the broader fundamental risks. Buy the Dip Analysis
• Negative Sentiment: Investors are rotating toward defensive sectors amid hot inflation concerns, weighing on AI-linked optical suppliers including Applied Optoelectronics, Coherent and Lumentum. Concerns that AI infrastructure spending may not generate sufficient returns are driving the sector-wide selloff. Optical Stocks Extend Slide
• Negative Sentiment: B. Riley lowered its AAOI price target from $109 to $92 and maintained a neutral rating, signaling reduced near-term valuation support. B. Riley Price Target Update
• Negative Sentiment: CFO Stefan Murry sold 4,000 shares for approximately $411,480 under a pre-arranged Rule 10b5-1 plan. The sale was modest relative to his remaining ownership, but may add to negative sentiment. SEC Insider Ownership Filing

About Applied Optoelectronics

Applied Optoelectronics, Inc (NASDAQ: AAOI) develops and manufactures fiber-optic networking products used to transmit data across broadband, data center, telecommunications and wireless networks. Its portfolio includes optical transceivers, modules, lasers, components and networking equipment designed for high-speed communications infrastructure.

The company serves communications service providers, cable television and broadband operators, internet content providers, data center operators and telecommunications customers.