AAOI
Applied Opt
NASDAQ: AAOI · TECHNOLOGY · COMMUNICATION EQUIPMENT
$82.22
+6.85% today
Updated 2026-10-28
Market cap
$6.42B
P/E ratio
—
P/S ratio
10.77x
EPS (TTM)
$-0.75
Dividend yield
—
52W range
$19 – $234
Volume
9.3M
WallStSmart proprietary scores
38
out of 100
Grade: D
Sell
Investment rating
8.0
Growth
A7.0
Quality
B+2.0
Profitability
F5.0
Valuation
C+5/9
Piotroski F-Score
Moderate
1.1
Altman Z-Score
Distress
—
Industry rank
—
View all highly rated stocks (75+) →270 stocks currently score above 75
Price targets
Analyst target
$79.80
-2.94%
12-Month target
—
—
Intrinsic (DCF)
$49.47
Margin of safety
-36.47%
2 Strong Buy1 Buy3 Hold0 Sell0 Strong Sell
Price chart
Stock snapshot
Strengths
+ Revenue growth 86.40% QoQ
+ Debt/equity 0.16x — low leverage
Risks
- Altman Z 1.12 — distress zone
- Thin margins at -9.57%
- Negative free cash flow $-265.33M
- 36.47% above intrinsic value
Key financials
Revenue Net Income Free Cash Flow
| Metric | 2022 | 2023 | 2024 | 2025 | TTM | 2026 (E) |
|---|---|---|---|---|---|---|
| Revenue | $222.82M | $217.65M | $249.37M | $455.71M | $595.97M | $1.1B |
| Net income | $-66.40M | $-56.05M | $-186.73M | $-38.23M | $-22.78M | — |
| EPS | — | — | — | — | $-0.75 | $0.95 |
| Free cash flow | $-18.26M | $-17.60M | $-112.93M | $-353.58M | $-265.33M | — |
| Profit margin | -29.80% | -25.75% | -74.88% | -8.39% | -9.57% | — |
Recent insider activity
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| 2026-09-15 | BLACK, RICHARD B | Sale | 2,200 | — |
| 2026-09-10 | MURRY, STEFAN J. | Sale | 4,000 | $105.33 |
| 2026-09-08 | CHANG, HUNG-LUN (FRED) | Sale | 32,172 | $110.21 |
Peer comparison
Smart narrative
Applied Opt trades at $82.22. Our Smart Value Score of 38/100 indicates the stock is weak. The company scores 5/9 on the Piotroski F-Score. With an Altman Z-Score of 1.12, it sits in the distress. TTM revenue stands at $595.97M. with profit margins at -9.57%. Our DCF model estimates intrinsic value at $49.47.
Frequently asked questions
What is Applied Opt's stock price?
Applied Opt (AAOI) trades at $82.22, on a P/S of 10.8x. Those multiples show what the market is paying for each dollar of earnings and sales, which is the real starting point for judging whether the price is reasonable.
Is Applied Opt overvalued?
Applied Opt carries a Smart Value Score of 38/100 (Grade D), which we rate Sell. That score blends growth, quality, and valuation into one read. On valuation specifically, our conservative DCF puts intrinsic value at $49.47 against the $82.22 price, so on cash flow terms the market is paying a premium for Applied Opt's growth. The Sell rating reflects that growth and quality, while the DCF flags that the price already assumes a lot.
What is the price target of Applied Opt (AAOI)?
The 12-month analyst consensus target is $79.80, about 2.9% below the current $82.22. A consensus target is the average of Wall Street's 12-month forecasts, so it works as a sentiment gauge rather than a guarantee, and it resets with every earnings cycle.
What is the future stock price of AAOI by 2030?
Our research-backed model puts the 2030 base case at $896.01, built from revenue projections, a growth-adjusted P/S multiple, net debt, and share dilution. It is a scenario rather than a prediction, and the bull and bear cases around it matter more than the single number when you are sizing a position.
What is the intrinsic value of Applied Opt (AAOI)?
Our DCF model estimates intrinsic value at $49.47, a -36.5% margin of safety versus today's $82.22. Intrinsic value is what the projected cash flows are worth today. A negative reading means the price is running ahead of that conservative estimate, leaving little downside cushion if growth slows.
What is Applied Opt's revenue?
Applied Opt's trailing twelve-month revenue is $595.97M, and our model projects it reaching about $5.98B by 2030. Revenue scale anchors the valuation multiples and shows whether growth is reaching the top line, so it is best read alongside margin and growth trends to see if that revenue is getting more profitable over time.
Altman Z-Score?
Applied Opt's Altman Z-Score is 1.12, which places it in the distress. The Altman Z-Score gauges bankruptcy risk from profitability, leverage, and asset efficiency, and a higher reading points to lower financial distress risk.
Company info
SectorTECHNOLOGY
IndustryCOMMUNICATION EQUIPMENT
CountryUSA
ExchangeNASDAQ
CurrencyUSD
Quick metrics
P/S ratio10.77x
ROE-3.42%
Beta3.84
50D MA$110.99
200D MA$112.22
Shares out0.08B
Float0.08B
Short ratio—
Avg volume9.3M
Performance
1 week-9.25%
1 month+48.04%
3 months-28.49%
YTD+224.96%
1 year+344.41%
3 years—
5 years—