David Kuo Sells 2,533 Shares of Applied Optoelectronics (NASDAQ:AAOI) Stock

Applied Optoelectronics, Inc. (NASDAQ:AAOI) insider David Kuo sold 2,533 shares of the business’s stock in a transaction that occurred on Tuesday, February 10th. The shares were sold at an average price of $50.00, for a total value of $126,650.00. Following the completion of the sale, the insider owned 129,130 shares of the company’s stock, valued at $6,456,500. This trade represents a 1.92% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink.

Applied Optoelectronics Trading Down 9.1%

Shares of NASDAQ:AAOI opened at $43.99 on Friday. The business’s 50 day moving average price is $37.23 and its 200-day moving average price is $30.28. Applied Optoelectronics, Inc. has a 1 year low of $9.71 and a 1 year high of $50.80. The firm has a market capitalization of $3.00 billion, a price-to-earnings ratio of -13.66 and a beta of 3.32. The company has a debt-to-equity ratio of 0.23, a current ratio of 2.31 and a quick ratio of 1.63.

Key Stories Impacting Applied Optoelectronics

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

• Positive Sentiment: Analyst support remains constructive — several brokers have kept Buy ratings or raised targets this winter, providing a bullish backdrop that helps justify current valuation levels for AAOI. Read More.
• Neutral Sentiment: Reported short‑interest headlines claim a “large increase,” but published values show 0/NaN and a 0.0 days‑to‑cover ratio — this appears to be a reporting error; no clear short‑seller pressure is confirmed until corrected data are posted. Read More.
• Neutral Sentiment: Institutional ownership is high (~61.7%) and the stock is trading near its 52‑week high with the 50‑ and 200‑day moving averages well below current price — supportive technically but increases sensitivity to profit‑taking around these levels. Read More.
• Negative Sentiment: Insider selling by senior management: CFO Stefan Murry sold a total of ~18,020 shares across Feb. 10–11 (~$49–$50.25), trimming his stake. The SEC filing is posted. This kind of executive selling amid a price peak can weigh on near‑term sentiment. Read More.
• Negative Sentiment: Director David C. Kuo sold roughly ~20,000 shares across Feb. 10–11 (~$50 avg), a meaningful reduction in his holding; multiple insider sales in quick succession are being read as profit‑taking and are likely contributing to the stock decline. Read More.

Analyst Ratings Changes

Several research analysts recently weighed in on AAOI shares. Rosenblatt Securities restated a “buy” rating and set a $50.00 price target on shares of Applied Optoelectronics in a research report on Friday, December 19th. B. Riley Financial reiterated a “sell” rating and set a $15.00 price objective on shares of Applied Optoelectronics in a research note on Monday, November 10th. Weiss Ratings reissued a “sell (d-)” rating on shares of Applied Optoelectronics in a report on Wednesday, January 21st. Northland Securities set a $45.00 target price on Applied Optoelectronics in a research report on Thursday, December 11th. Finally, Needham & Company LLC boosted their price target on Applied Optoelectronics from $38.00 to $43.00 and gave the stock a “buy” rating in a research report on Thursday, December 11th. Four analysts have rated the stock with a Buy rating, one has issued a Hold rating and two have given a Sell rating to the stock. According to MarketBeat.com, the company presently has an average rating of “Hold” and a consensus target price of $35.60.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the stock. Comerica Bank grew its position in shares of Applied Optoelectronics by 27.6% in the fourth quarter. Comerica Bank now owns 1,386 shares of the semiconductor company’s stock valued at $48,000 after purchasing an additional 300 shares in the last quarter. AlphaQuest LLC boosted its stake in Applied Optoelectronics by 7.9% during the third quarter. AlphaQuest LLC now owns 7,503 shares of the semiconductor company’s stock worth $195,000 after buying an additional 551 shares during the last quarter. Allworth Financial LP grew its holdings in Applied Optoelectronics by 1,923.7% in the 4th quarter. Allworth Financial LP now owns 769 shares of the semiconductor company’s stock valued at $27,000 after buying an additional 731 shares in the last quarter. Northwestern Mutual Wealth Management Co. increased its stake in shares of Applied Optoelectronics by 166.7% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 1,200 shares of the semiconductor company’s stock worth $42,000 after acquiring an additional 750 shares during the last quarter. Finally, Arizona State Retirement System raised its holdings in shares of Applied Optoelectronics by 4.9% during the 4th quarter. Arizona State Retirement System now owns 16,519 shares of the semiconductor company’s stock worth $576,000 after acquiring an additional 769 shares during the period. 61.70% of the stock is currently owned by institutional investors and hedge funds.

About Applied Optoelectronics

Applied Optoelectronics, Inc develops and manufactures high-speed fiber-optic networking products designed to support the growing bandwidth demands of data centers, telecommunications carriers and internet content providers. The company’s core offerings include pluggable optical transceiver modules, transponders and optical components that enable data transmission at rates ranging from 1G to 400G. These products are used to facilitate long-haul, metro and intra-data center connectivity, addressing the need for scalable, low-latency and energy-efficient solutions in modern network infrastructures.

The company’s product portfolio spans small-form factor pluggable modules such as SFP+, QSFP+ and QSFP28 units, as well as more advanced form factors like CFP2 and OSFP for ultra-high-speed applications.