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AXT Announces Lower Q2 2025 Revenue Expectations

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AXT Announces Lower Q2 2025 Revenue Expectations

Elevate Your Investing Strategy:

AXT ( (AXTI) ) has issued an update.

On July 9, 2025, AXT, Inc. announced a preliminary revenue range for the second quarter of 2025, expecting revenues between $17.5 and $18 million, which is below the previously guided $20 to $22 million. This shortfall is attributed to slower issuance of export control permits for gallium arsenide products and weaker demand in China. Despite these challenges, AXT reported increased AI-related demand for indium phosphide in China and received its first export control permits for indium phosphide late in the quarter. The company remains focused on improving gross margins, expecting them to be in the high single digits for Q2 2025.

The most recent analyst rating on (AXTI) stock is a Buy with a $5.00 price target. To see the full list of analyst forecasts on AXT stock, see the AXTI Stock Forecast page.

Spark’s Take on AXTI Stock

According to Spark, TipRanks’ AI Analyst, AXTI is a Neutral.

AXT’s overall stock score is influenced heavily by financial challenges, including declining revenues and negative cash flow. While technical indicators show positive trends, these are overshadowed by valuation concerns and operational difficulties highlighted in the earnings call. The recent positive corporate event provides a slight uplift but is not enough to offset the broader financial and operational issues.

To see Spark’s full report on AXTI stock, click here.

More about AXT

AXT, Inc. is a material science company specializing in the development and manufacturing of high-performance compound and single element semiconductor substrate wafers, including indium phosphide, gallium arsenide, and germanium. These substrates are used when typical silicon substrates cannot meet the performance requirements of semiconductor or optoelectronic devices. AXT’s headquarters are in Fremont, California, with additional facilities in Beijing, China, and manufacturing sites across China. The company also holds partial ownership in ten companies in China that produce raw materials for its manufacturing processes.

Average Trading Volume: 407,693

Technical Sentiment Signal: Hold

Current Market Cap: $104M

For an in-depth examination of AXTI stock, go to TipRanks’ Overview page.

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