Needham analyst Ryan Koontz has maintained their bullish stance on AAOI stock, giving a Buy rating on November 17.
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Ryan Koontz has given his Buy rating due to a combination of factors that highlight the potential of Applied Optoelectronics. One significant aspect is the anticipated qualification of their 800G technology by Amazon, which, despite some timing uncertainties, is expected to have a low technological risk. This potential milestone is seen as a positive long-term catalyst for the company, offering promising growth prospects for investors who are willing to be patient.
Furthermore, the current industry environment, characterized by a tight supply of components, positions Applied Optoelectronics favorably as they navigate these challenges. Koontz emphasizes the importance of focusing on the broader implications of a successful product qualification rather than the immediate timing, suggesting that the stock is well-positioned for those with a long-term investment horizon.
In another report released on November 17, Northland Securities also maintained a Buy rating on the stock with a $35.00 price target.