On May 11, Applied Optoelectronics (AAOI) rose 7.28% in regular trading, trading at $168.17/share, with trading volume of approximately $394 million. The stock is extending a multi-session rebound following a steep earnings-driven selloff earlier in the month.
The rebound comes after the company reported first-quarter results that missed both revenue and earnings expectations. Adjusted EPS came in at $(0.07), missing the analyst consensus estimate of $(0.05) by 40%, representing a 250% widening from the prior-period loss of $(0.02). Revenue totaled $151.144 million, falling short of the $157.064 million estimate. The miss was compounded by broader weakness in the optical communication sector triggered by Lumentum's earnings disappointment, which drove AAOI down as much as 11.4% in after-hours trading on May 7.
Despite the earnings shortfall, the stock has staged a sharp recovery, gaining 7.52% on May 8 in regular trading and continuing upward momentum into May 11. Within the Communication Equipment sector, Lumentum rose 8.89%, Ciena gained 3.7%, and Nokia added 2.26%, while Arista Networks slipped 1.17% and Cisco edged down 0.01%.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
