Richard B. Black, a director at Applied Optoelectronics, Inc. (NASDAQ:AAOI), recently sold 10,000 shares of the company's common stock. The sale comes as the company, currently valued at $1.54 billion, has seen its stock surge over 219% in the past six months. The shares were sold at prices ranging from $35 to $36.16, resulting in a total transaction value of $352,672. This sale was conducted under a Rule 10b5-1 trading plan, which Black adopted on August 13, 2024. According to InvestingPro data, AAOI exhibits high price volatility and is currently unprofitable, with 12 additional ProTips available for subscribers. Following the transaction, Black holds 167,813 shares indirectly through a trust. The shares were originally contributed to the trust in 2019, changing the form of beneficial ownership from direct to indirect. The stock is currently trading near its 52-week high of $44.50, reflecting significant investor interest despite challenging fundamentals.
In other recent news, Applied Optoelectronics has been the subject of several significant developments. The company reported an increase in Q3 2024 revenue to $65.2 million, a year-over-year rise of 4% and a 51% surge from the previous quarter. Despite a 16% decrease in data center revenue, the company reported a 90% sequential growth in the same sector. Rosenblatt Securities upgraded its stock price target for Applied Optoelectronics to $44, maintaining a Buy rating, based on strong demand for 400G products and the company's capacity to meet its fourth-quarter 2024 targets. However, B.Riley downgraded the company's stock from Neutral to Sell due to concerns over a potential deceleration in the 400G market segment. In addition, Applied Optoelectronics has initiated a patent infringement lawsuit against Eoptolink Technology USA Inc., alleging violation of multiple optical transceiver patents. These are among the recent developments that investors should be aware of.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.