Needham & Company Reiterates Strong Buy on Applied Optoelectronics (AAOI) Following 1Q

Needham & Company reiterated a Strong Buy rating and $40.00 price target on Applied Optoelectronics (NASDAQ: AAOI) following the company's 1Q earnings report. AOI missed on Revs by 4% and Street by 5%. GMs were in-line at 40% and OPEX was slightly lower than forecast. AOI beat on the Tax line, which helped buoy EPS to within $0.03-$0.04 of estimates.

AOI offered strong positive comments on CY2H demand growth for 100G and GMs . The company expects unit sales of 100G to more than double in 2H vs 1H as they deliver the committed orders announced in CY1Q. The 2Q guide was in-line with forecasts on both Revs and EPS.

For an analyst ratings summary and ratings history on Applied Optoelectronics click here. For more ratings news on Applied Optoelectronics click here.

Shares of Applied Optoelectronics closed at $35.13 yesterday.

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