APPLIED OPTOELECTRONICS INC (1AAOI.MI) Stock Fundamental Analysis
Europe - BIT:1AAOI - US03823U1025 - Common Stock
28.2 EUR
+28.2 (+Infinity%)
1AAOI gets a fundamental rating of 3 out of 10. The analysis compared the fundamentals against 29 industry peers in the Communications Equipment industry. The financial health of 1AAOI is average, but there are quite some concerns on its profitability. 1AAOI is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
1AAOI had negative earnings in the past year.
In the past year 1AAOI has reported a negative cash flow from operations.
In the past 5 years 1AAOI always reported negative net income.
In the past 5 years 1AAOI always reported negative operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of -19.54%, 1AAOI is doing worse than 79.31% of the companies in the same industry.
1AAOI's Return On Equity of -36.64% is on the low side compared to the rest of the industry. 1AAOI is outperformed by 68.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -19.54% | ||
| ROE | -36.64% | ||
| ROIC | N/A |
ROA(3y)-21.6%
ROA(5y)-17.78%
ROE(3y)-47.85%
ROE(5y)-37.18%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Gross Margin, with a value of 28.88%, 1AAOI is doing worse than 82.76% of the companies in the same industry.
1AAOI's Gross Margin has been stable in the last couple of years.
1AAOI does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 28.88% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y11.63%
GM growth 5Y0.48%
2. Health
2.1 Basic Checks
1AAOI does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, 1AAOI has more shares outstanding
1AAOI has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, 1AAOI has a worse debt to assets ratio.
2.2 Solvency
1AAOI has an Altman-Z score of 3.08. This indicates that 1AAOI is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of 1AAOI (3.08) is better than 72.41% of its industry peers.
1AAOI has a Debt/Equity ratio of 0.39. This is a healthy value indicating a solid balance between debt and equity.
1AAOI has a Debt to Equity ratio (0.39) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.08 |
ROIC/WACCN/A
WACC9.09%
2.3 Liquidity
1AAOI has a Current Ratio of 2.11. This indicates that 1AAOI is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 2.11, 1AAOI is in the better half of the industry, outperforming 72.41% of the companies in the same industry.
A Quick Ratio of 1.47 indicates that 1AAOI should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.47, 1AAOI is in the better half of the industry, outperforming 68.97% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.11 | ||
| Quick Ratio | 1.47 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 31.67% over the past year.
The Revenue has grown by 77.98% in the past year. This is a very strong growth!
Measured over the past years, 1AAOI shows a small growth in Revenue. The Revenue has been growing by 5.49% on average per year.
EPS 1Y (TTM)31.67%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%42.86%
Revenue 1Y (TTM)77.98%
Revenue growth 3Y5.63%
Revenue growth 5Y5.49%
Sales Q2Q%137.93%
3.2 Future
Based on estimates for the next years, 1AAOI will show a very strong growth in Earnings Per Share. The EPS will grow by 75.38% on average per year.
Based on estimates for the next years, 1AAOI will show a very strong growth in Revenue. The Revenue will grow by 76.98% on average per year.
EPS Next Y71.49%
EPS Next 2Y75.38%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year92.98%
Revenue Next 2Y76.98%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
1AAOI reported negative earnings for the last year, which makes the Price/Earnings Ratio negative.
With a Price/Forward Earnings ratio of 36.93, 1AAOI can be considered very expensive at the moment.
1AAOI's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of 1AAOI to the average of the S&P500 Index (22.99), we can say 1AAOI is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 36.93 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
1AAOI's earnings are expected to grow with 75.38% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y75.38%
EPS Next 3YN/A
5. Dividend
5.1 Amount
1AAOI does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BIT:1AAOI (10/7/2025, 7:00:00 PM)
28.2
+28.2 (+Infinity%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners56.17%
Inst Owner ChangeN/A
Ins Owners4.59%
Ins Owner ChangeN/A
Market Cap1.76B
Analysts78.46
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-32.75%
Min EPS beat(2)-111.4%
Max EPS beat(2)45.91%
EPS beat(4)1
Avg EPS beat(4)-24.29%
Min EPS beat(4)-111.4%
Max EPS beat(4)45.91%
EPS beat(8)4
Avg EPS beat(8)956.11%
EPS beat(12)7
Avg EPS beat(12)640.96%
EPS beat(16)11
Avg EPS beat(16)484.41%
Revenue beat(2)0
Avg Revenue beat(2)-3.04%
Min Revenue beat(2)-4.6%
Max Revenue beat(2)-1.48%
Revenue beat(4)1
Avg Revenue beat(4)-1.43%
Min Revenue beat(4)-4.6%
Max Revenue beat(4)2.04%
Revenue beat(8)1
Avg Revenue beat(8)-3.67%
Revenue beat(12)1
Avg Revenue beat(12)-4.16%
Revenue beat(16)2
Avg Revenue beat(16)-4.04%
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)N/A
EPS NY rev (3m)N/A
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)N/A
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | N/A | ||
| Fwd PE | 36.93 | ||
| P/S | 5.52 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 4.78 | ||
| P/tB | 4.82 | ||
| EV/EBITDA | N/A |
EPS(TTM)-0.35
EYN/A
EPS(NY)0.76
Fwd EY2.71%
FCF(TTM)-3.39
FCFYN/A
OCF(TTM)-2.16
OCFYN/A
SpS5.11
BVpS5.9
TBVpS5.85
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -19.54% | ||
| ROE | -36.64% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 28.88% | ||
| FCFM | N/A |
ROA(3y)-21.6%
ROA(5y)-17.78%
ROE(3y)-47.85%
ROE(5y)-37.18%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y11.63%
GM growth 5Y0.48%
F-Score5
Asset Turnover0.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.39 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 391.67% | ||
| Cap/Sales | 24.16% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.11 | ||
| Quick Ratio | 1.47 | ||
| Altman-Z | 3.08 |
F-Score5
WACC9.09%
ROIC/WACCN/A
Cap/Depr(3y)91.99%
Cap/Depr(5y)75.01%
Cap/Sales(3y)7.91%
Cap/Sales(5y)6.93%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)31.67%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%42.86%
EPS Next Y71.49%
EPS Next 2Y75.38%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)77.98%
Revenue growth 3Y5.63%
Revenue growth 5Y5.49%
Sales Q2Q%137.93%
Revenue Next Year92.98%
Revenue Next 2Y76.98%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y18.93%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year229.23%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-2270.52%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-2185.96%
OCF growth 3YN/A
OCF growth 5YN/A