AXT (NASDAQ:AXTI) Trading Up 11.5% – What’s Next?

AXT Inc (NASDAQ:AXTI) was up 11.5% on Wednesday . The company traded as high as $90.18 and last traded at $87.3370. Approximately 2,370,184 shares traded hands during mid-day trading, a decline of 77% from the average daily volume of 10,216,930 shares. The stock had previously closed at $78.36.

Trending Headlines about AXT

Here are the key news stories impacting AXT this week:

• Positive Sentiment: Investor enthusiasm around AI infrastructure has lifted AXT, with traders viewing its indium phosphide products as a key beneficiary of data-center optical connectivity demand. AXT Inc. (AXTI) Gets 8.8% Jump from AI Optimism
• Positive Sentiment: Quiver Quant highlighted renewed momentum in AXT’s AI-driven growth narrative and noted elevated short interest, which can amplify gains if short sellers are forced to cover. AXT shares jump as AI-driven indium phosphide growth narrative and short-squeeze dynamics resurface
• Positive Sentiment: Analysts and commentary pointed to AXT’s backlog topping $100 million, suggesting demand remains solid even as export approvals remain a key near-term gatekeeper. AXT’s $100M Backlog Sounds Bullish, But Can Export Risks Derail Growth?
• Neutral Sentiment: AXT shareholders approved governance changes and a higher authorized share count, giving the company more flexibility to fund expansion, though it also leaves open the possibility of future dilution. AXT Shareholders Approve Governance Changes and Share Increase
• Negative Sentiment: Recent insider selling by director Jesse Chen may pressure sentiment, especially since multiple sales have been disclosed over the past several days. AXT Insider Makes Major Move With High-Value Stock Sale

Wall Street Analyst Weigh In

A number of equities analysts have weighed in on AXTI shares. Wall Street Zen upgraded AXT from a “sell” rating to a “hold” rating in a research note on Saturday, February 14th. Northland Securities set a $125.00 target price on AXT in a research note on Wednesday, June 3rd. Wedbush upped their target price on AXT from $8.50 to $28.00 and gave the stock an “outperform” rating in a research note on Friday, February 20th. UBS Group set a $35.00 target price on AXT in a research note on Tuesday, February 17th. Finally, Weiss Ratings upgraded AXT from a “sell (e+)” rating to a “sell (d-)” rating in a research note on Wednesday, May 27th. Two analysts have rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and a consensus target price of $43.80.

AXT Stock Performance

The firm has a market capitalization of $5.78 billion, a P/E ratio of -284.96 and a beta of 1.80. The business has a 50 day simple moving average of $91.50 and a two-hundred day simple moving average of $49.52.

AXT (NASDAQ:AXTI) last announced its quarterly earnings data on Thursday, April 30th. The semiconductor company reported ($0.01) EPS for the quarter, beating the consensus estimate of ($0.04) by $0.03. The firm had revenue of $26.92 million for the quarter, compared to analyst estimates of $26.22 million. AXT had a negative return on equity of 5.71% and a negative net margin of 14.69%.AXT has set its Q2 2026 guidance at 0.060-0.080 EPS. On average, equities analysts anticipate that AXT Inc will post 0.2 earnings per share for the current fiscal year.

Insider Activity

In other news, CEO Morris S. Young sold 123,601 shares of the stock in a transaction dated Tuesday, June 2nd. The stock was sold at an average price of $113.33, for a total transaction of $14,007,701.33. Following the transaction, the chief executive officer directly owned 2,149,533 shares in the company, valued at approximately $243,606,574.89. This represents a 5.44% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Jesse Chen sold 9,000 shares of the stock in a transaction dated Wednesday, June 10th. The shares were sold at an average price of $86.73, for a total value of $780,570.00. Following the transaction, the director owned 78,447 shares in the company, valued at $6,803,708.31. This trade represents a 10.29% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 224,131 shares of company stock worth $24,907,026 over the last quarter. Corporate insiders own 5.97% of the company’s stock.

Hedge Funds Weigh In On AXT

Several institutional investors have recently modified their holdings of AXTI. American Capital Advisory LLC bought a new position in shares of AXT during the 1st quarter valued at about $27,000. Kohmann Bosshard Financial Services LLC purchased a new stake in AXT during the 1st quarter valued at about $31,000. XTX Topco Ltd purchased a new stake in AXT during the 2nd quarter valued at about $42,000. Jefferies Financial Group Inc. purchased a new stake in AXT during the 3rd quarter valued at about $52,000. Finally, Leonteq Securities AG purchased a new stake in AXT during the 1st quarter valued at about $57,000. 49.52% of the stock is currently owned by institutional investors.

AXT Company Profile

AXT, Inc (NASDAQ: AXTI) is a global supplier of compound and single-element semiconductor substrates, offering a range of materials critical for high-performance electronic and optoelectronic devices. Founded in 1986 and headquartered in Fremont, California, AXT specializes in the development, manufacture and distribution of wafers composed of gallium arsenide (GaAs), indium phosphide (InP), gallium nitride (GaN) and other compound semiconductor materials. These substrates serve as the foundational platforms for devices used in data communications, wireless infrastructure, advanced computing, consumer electronics and photovoltaic applications.

AXT’s product portfolio encompasses a variety of wafer sizes, dopant concentrations and crystal orientations, tailored to meet the precise specifications of its customers.