Applied Optoelectronics, Inc. designs, manufactures, and sells various fiber-optic networking products worldwide. More Details
Fair value with limited growth.
Share Price & News
How has Applied Optoelectronics's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: AAOI's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: AAOI exceeded the US Communications industry which returned -17% over the past year.
Return vs Market: AAOI underperformed the US Market which returned 12.9% over the past year.
Price Volatility Vs. Market
How volatile is Applied Optoelectronics's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 day ago | Simply Wall StIs Applied Optoelectronics, Inc. (NASDAQ:AAOI) Trading At A 34% Discount?
2 weeks ago | Simply Wall StIs Applied Optoelectronics (NASDAQ:AAOI) A Risky Investment?
1 month ago | Simply Wall StVP, General Counsel David Kuo Just Sold A Bunch Of Shares In Applied Optoelectronics, Inc. (NASDAQ:AAOI)
Is Applied Optoelectronics undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: AAOI ($11.04) is trading below our estimate of fair value ($16.01)
Significantly Below Fair Value: AAOI is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: AAOI is unprofitable, so we can't compare its PE Ratio to the US Communications industry average.
PE vs Market: AAOI is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate AAOI's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: AAOI is good value based on its PB Ratio (0.9x) compared to the US Communications industry average (1.7x).
How is Applied Optoelectronics forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: AAOI is forecast to remain unprofitable over the next 3 years.
Earnings vs Market: AAOI is forecast to remain unprofitable over the next 3 years.
High Growth Earnings: AAOI is forecast to remain unprofitable over the next 3 years.
Revenue vs Market: AAOI's revenue (23.1% per year) is forecast to grow faster than the US market (9.8% per year).
High Growth Revenue: AAOI's revenue (23.1% per year) is forecast to grow faster than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if AAOI's Return on Equity is forecast to be high in 3 years time
How has Applied Optoelectronics performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: AAOI is currently unprofitable.
Growing Profit Margin: AAOI is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: AAOI is unprofitable, and losses have increased over the past 5 years at a rate of 45.9% per year.
Accelerating Growth: Unable to compare AAOI's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: AAOI is unprofitable, making it difficult to compare its past year earnings growth to the Communications industry (-28.9%).
Return on Equity
High ROE: AAOI has a negative Return on Equity (-30.92%), as it is currently unprofitable.
How is Applied Optoelectronics's financial position?
Financial Position Analysis
Short Term Liabilities: AAOI's short term assets ($213.0M) exceed its short term liabilities ($119.8M).
Long Term Liabilities: AAOI's short term assets ($213.0M) exceed its long term liabilities ($100.9M).
Debt to Equity History and Analysis
Debt Level: AAOI's debt to equity ratio (56.4%) is considered high.
Reducing Debt: AAOI's debt to equity ratio has increased from 51.3% to 56.4% over the past 5 years.
Debt Coverage: AAOI's operating cash flow is negative, therefore debt is not well covered.
Interest Coverage: Insufficient data to determine if AAOI's interest payments on its debt are well covered by EBIT.
What is Applied Optoelectronics's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate AAOI's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate AAOI's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if AAOI's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if AAOI's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of AAOI's dividend in 3 years as they are not forecast to pay a notable one for the US market.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Thompson Lin (57 yo)
Dr. Chih-Hsiang Lin, also known as Thompson, Ph.D., founded Applied Optoelectronics, Inc., in 1997 and has been its President, Chief Executive Officer. Dr. Lin has been the Chairman of the Board at Applied ...
CEO Compensation Analysis
Compensation vs Market: Thompson's total compensation ($USD2.15M) is above average for companies of similar size in the US market ($USD1.28M).
Compensation vs Earnings: Thompson's compensation has been consistent with company performance over the past year.
|CFO & Chief Strategy Officer||6.08yrs||US$738.26k||0.090% |
|VP, General Counsel||0.67yr||US$441.52k||0.011% |
|Senior VP of Optical Component Business Unit & GM of North America||7.92yrs||US$691.71k||0.12% |
|Senior VP of Network Equipment Module Business Unit & GM of Asia||7.83yrs||US$709.08k||0.31% |
|Investor Relations||no data||no data||no data|
|VP of Finance & Controller||13.67yrs||no data||no data|
Experienced Management: AAOI's management team is seasoned and experienced (7.9 years average tenure).
|Independent Director||19.08yrs||US$185.00k||0.25% |
|Independent Director||7.58yrs||US$177.00k||0.23% |
|Independent Director||7.58yrs||US$170.00k||0.17% |
|Independent Director||6.67yrs||US$167.00k||0.25% |
|Lead Independent Director||2.42yrs||US$180.00k||0.34% |
|Independent Director||0.25yr||no data||no data|
Experienced Board: AAOI's board of directors are considered experienced (6.7 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: AAOI insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 13.7%.
Applied Optoelectronics, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Applied Optoelectronics, Inc.
- Ticker: AAOI
- Exchange: NasdaqGM
- Founded: 1997
- Industry: Communications Equipment
- Sector: Tech
- Market Cap: US$251.425m
- Shares outstanding: 22.77m
- Website: https://www.ao-inc.com
Number of Employees
- Applied Optoelectronics, Inc.
- 13139 Jess Pirtle Boulevard
- Sugar Land
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|AAOI||NasdaqGM (Nasdaq Global Market)||Yes||Common Stock||US||USD||Sep 2013|
|A59||BST (Boerse-Stuttgart)||Yes||Common Stock||DE||EUR||Sep 2013|
|0HGV||LSE (London Stock Exchange)||Yes||Common Stock||GB||USD||Sep 2013|
Applied Optoelectronics, Inc. designs, manufactures, and sells various fiber-optic networking products worldwide. It offers optical modules, lasers, transmitters and transceivers, and turn-key equipment, a ...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/09/22 06:09|
|End of Day Share Price||2020/09/21 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.