Applied Optoelectronics (AAOI) Soars 12.5% on Buy Reco

We precocious published 10 Small Stocks with Mighty Gains. Applied Optoelectronics, Inc. (NASDAQ:AAOI) is 1 of the top-performing stocks connected Wednesday.

Applied Optoelectronics rallied for a 4th consecutive time connected Wednesday, adding 12.49 percent to decorativeness astatine $25.57 apiece arsenic investors took bosom from an concern firm’s reaffirmed “buy” proposal for its stock.

In a marketplace note, Needham & Company maintained its standing and $38 terms people for Applied Optoelectronics, Inc. (NASDAQ:AAOI), marking a 48.6 percent upside imaginable from its latest closing price.

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In different news, the institution said that its main concern and strategy officer, Stefan Murry, would contiguous successful a fireside chat astatine the Raymond James 2025 TMT & Consumer Conference connected December 9, 2025.

Applied Optoelectronics, Inc. (NASDAQ:AAOI) is engaged successful processing and manufacturing precocious optical and HFC networking products for AI datacenters, CATV, and broadband fibre entree networks.

In the 3rd 4th of the year, the institution widened its nett nonaccomplishment by 1.1 percent to $17.9 cardinal from $17.7 cardinal successful the aforesaid play past year.

Total revenues, connected the different hand, surged by 82 percent to $118.63 cardinal from $65.15 cardinal year-on-year, with the bulk coming from revenues from information centers, astatine $43.9 million, oregon 7.3 percent higher than the $40.9 cardinal successful the aforesaid 4th past year.

For the 4th quarter, Applied Optoelectronics, Inc. (NASDAQ:AAOI) targets revenues betwixt $125 cardinal and $140 million, and nett nonaccomplishment betwixt $2.8 cardinal and $9 million.

While we admit the imaginable of AAOI arsenic an investment, our condemnation lies successful the content that immoderate AI stocks clasp greater committedness for delivering higher returns and person constricted downside risk. If you are looking for an highly inexpensive AI banal that is besides a large beneficiary of Trump tariffs and onshoring, spot our escaped study connected the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double successful 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This nonfiction is primitively published at Insider Monkey.