AXT (NASDAQ:AXTI) Shares Gap Down After Analyst Downgrade

AXT Inc (NASDAQ:AXTI)’s share price gapped down prior to trading on Tuesday after B. Riley Financial lowered their price target on the stock from $73.00 to $52.00. The stock had previously closed at $47.88, but opened at $44.25. B. Riley Financial currently has a neutral rating on the stock. AXT shares last traded at $40.9060, with a volume of 3,247,188 shares.

A number of other analysts have also weighed in on the company. Weiss Ratings upgraded AXT from a “sell (e+)” rating to a “sell (d-)” rating in a research note on Wednesday, May 27th. Northland Securities set a $125.00 price target on shares of AXT in a research report on Wednesday, June 3rd. 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 company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Hold” and an average target price of $50.00.

Insider Transactions at AXT

In other news, Director David C. Chang sold 8,333 shares of AXT stock in a transaction that occurred on Monday, June 15th. The shares were sold at an average price of $111.17, for a total transaction of $926,379.61. Following the completion of the sale, the director owned 65,165 shares in the company, valued at $7,244,393.05. The trade was a 11.34% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, CEO Morris S. Young sold 123,601 shares of the business’s stock in a transaction that occurred on 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 sale, the chief executive officer directly owned 2,149,533 shares of the company’s stock, valued at approximately $243,606,574.89. This trade represents a 5.44% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 251,636 shares of company stock worth $27,789,677 in the last quarter. 5.97% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in AXTI. Kestra Advisory Services LLC grew its stake in shares of AXT by 6.8% during the first quarter. Kestra Advisory Services LLC now owns 6,408 shares of the semiconductor company’s stock worth $365,000 after purchasing an additional 408 shares during the period. American Capital Advisory LLC acquired a new position in AXT in the first quarter valued at about $27,000. Kohmann Bosshard Financial Services LLC acquired a new position in AXT in the first quarter valued at about $31,000. Leonteq Securities AG bought a new position in AXT during the first quarter worth about $57,000. Finally, Tema ETFs LLC bought a new position in AXT during the second quarter worth about $105,000. 49.52% of the stock is currently owned by institutional investors.

AXT Stock Down 15.3%

The stock has a market cap of $2.65 billion, a P/E ratio of -130.55 and a beta of 1.86. The stock has a fifty day simple moving average of $81.67 and a 200-day simple moving average of $61.37.

AXT (NASDAQ:AXTI) last announced its quarterly earnings results on Thursday, April 30th. The semiconductor company reported ($0.01) EPS for the quarter, beating analysts’ consensus estimates of ($0.04) by $0.03. The company had revenue of $26.92 million during the quarter, compared to analysts’ expectations 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. Sell-side analysts anticipate that AXT Inc will post 0.19 earnings per share for the current year.

About AXT

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.