Intech Investment Management LLC Decreases Position in Applied Optoelectronics, Inc. $AAOI

Intech Investment Management LLC reduced its position in shares of Applied Optoelectronics, Inc. (NASDAQ:AAOI) by 13.6% in the 3rd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 26,606 shares of the semiconductor company’s stock after selling 4,182 shares during the period. Intech Investment Management LLC’s holdings in Applied Optoelectronics were worth $690,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Vanguard Group Inc. boosted its holdings in shares of Applied Optoelectronics by 13.6% during the 3rd quarter. Vanguard Group Inc. now owns 4,624,570 shares of the semiconductor company’s stock worth $119,915,000 after purchasing an additional 551,910 shares during the last quarter. Citigroup Inc. increased its holdings in shares of Applied Optoelectronics by 60.0% in the third quarter. Citigroup Inc. now owns 1,160,456 shares of the semiconductor company’s stock valued at $30,091,000 after purchasing an additional 435,349 shares during the last quarter. New York State Common Retirement Fund lifted its position in Applied Optoelectronics by 1,618.6% during the third quarter. New York State Common Retirement Fund now owns 292,167 shares of the semiconductor company’s stock worth $7,576,000 after buying an additional 275,167 shares in the last quarter. Geode Capital Management LLC lifted its position in Applied Optoelectronics by 18.8% during the second quarter. Geode Capital Management LLC now owns 1,285,693 shares of the semiconductor company’s stock worth $33,034,000 after buying an additional 203,830 shares in the last quarter. Finally, WT Asset Management Ltd acquired a new position in Applied Optoelectronics during the third quarter worth $5,040,000. Hedge funds and other institutional investors own 61.70% of the company’s stock.

Applied Optoelectronics News Roundup

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

• Positive Sentiment: Major hyperscaler volume order for 1.6T transceivers—AOI announced it received its first volume order of 1.6T data‑center transceivers from a long‑term hyperscaler customer, validating product demand and the company’s move into higher‑speed optics. AOI Receives First Volume Order
• Positive Sentiment: Quarterly results beat and revenue acceleration—Q4/FY2025 revenue rose to ~$134.3M (≈+34% YoY) with improved gross margins and an EPS beat, supporting the narrative that demand is ramping. Investors see this as confirmation the 800G/1.6T ramps can drive 2026 growth. Q4 and Full Year 2025 Results
• Neutral Sentiment: Analyst/industry context—Several analyst pieces and sector writeups highlight strong secular demand for photonics in AI/data‑center builds and AAOI’s 800G/1.6T product roadmap; they emphasize upside if execution and capacity ramps proceed as hoped, but timing is critical. Zacks: After a 700% Run
• Neutral Sentiment: Short‑interest reporting looks anomalous—recent short‑interest entries show zero shares/NaN changes, indicating erroneous or late reporting; not a meaningful driver at present.
• Negative Sentiment: Insider selling—multiple insiders sold shares March 6–10 (including a 50,000‑share sale by Shu‑Hua (Joshua) Yeh and other directors/CFO sales), totaling ~80k shares across filings; while likely partly profit‑taking after a big run, clustered insider sales can pressure sentiment. (See SEC filing example.) SEC Filing
• Negative Sentiment: Execution & macro risks flagged—analyst notes also warn about rising costs, tariff exposure and the need for capacity/staffing to convert hyperscaler orders into revenue, which could temper margins and timeline. Zacks: Surges 129% in a Month

Applied Optoelectronics Price Performance

AAOI stock opened at $120.49 on Wednesday. The business’s fifty day moving average price is $51.24 and its 200 day moving average price is $36.69. Applied Optoelectronics, Inc. has a 12-month low of $9.71 and a 12-month high of $127.39. The company has a current ratio of 2.63, a quick ratio of 1.91 and a debt-to-equity ratio of 0.18. The company has a market capitalization of $9.06 billion, a PE ratio of -185.37 and a beta of 3.20.

Applied Optoelectronics (NASDAQ:AAOI) last announced its earnings results on Thursday, February 26th. The semiconductor company reported ($0.01) EPS for the quarter, beating analysts’ consensus estimates of ($0.12) by $0.11. The company had revenue of $134.27 million during the quarter, compared to analysts’ expectations of $131.56 million. Applied Optoelectronics had a negative return on equity of 5.29% and a negative net margin of 8.39%.Applied Optoelectronics’s revenue for the quarter was up 33.9% on a year-over-year basis. During the same period last year, the business posted ($0.02) EPS. Applied Optoelectronics has set its Q1 2026 guidance at -0.090-0.000 EPS. On average, sell-side analysts anticipate that Applied Optoelectronics, Inc. will post -1.18 EPS for the current year.

Insider Transactions at Applied Optoelectronics

In other news, insider David C. Kuo sold 17,467 shares of the company’s stock in a transaction on Wednesday, February 11th. The stock was sold at an average price of $50.17, for a total transaction of $876,319.39. Following the sale, the insider owned 111,663 shares of the company’s stock, valued at approximately $5,602,132.71. This represents a 13.53% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Shu-Hua (Joshua) Yeh sold 50,000 shares of the stock in a transaction on Monday, March 9th. The shares were sold at an average price of $97.10, for a total value of $4,855,000.00. Following the completion of the sale, the insider owned 322,051 shares in the company, valued at approximately $31,271,152.10. The trade was a 13.44% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders have sold 273,433 shares of company stock valued at $23,341,962. 4.50% of the stock is owned by corporate insiders.

Wall Street Analyst Weigh In

A number of analysts have issued reports on the company. B. Riley Financial raised Applied Optoelectronics from a “sell” rating to a “neutral” rating and set a $54.00 target price for the company in a research note on Friday, February 27th. Wall Street Zen upgraded shares of Applied Optoelectronics from a “sell” rating to a “hold” rating in a research report on Saturday, February 28th. Northland Securities reaffirmed a “market perform” rating and set a $55.00 target price on shares of Applied Optoelectronics in a research note on Friday, February 27th. Weiss Ratings reiterated a “sell (d-)” rating on shares of Applied Optoelectronics in a report on Wednesday, January 21st. Finally, Rosenblatt Securities reiterated a “buy” rating and issued a $50.00 price objective on shares of Applied Optoelectronics in a report on Thursday, February 19th. Three research analysts have rated the stock with a Buy rating, three have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, the stock presently has a consensus rating of “Hold” and an average target price of $52.80.

Applied Optoelectronics Profile

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.