Applied Optoelectronics, Inc. (AAOI) Price Target Analysis
Updated Jul 2, 2026
Analyst Rating: Buy
Based on 16 analysts29.7% Below Target
AAOI trades 29.7% below Wall Street's consensus target of $160.00.
Current Price$123.36
Average Target$160.00
Low$160.00
Median$160.00
High$160.00
Analyst Target Range
Forward P/E119.4x
(High Premium)
PEG Ratio—
Implied Growth+281.1%
(High Growth)
Analyst Spread0.0%
(High Agreement)
Price Forecast (1 Year)
Last 12 months price action with 12-month analyst target path
Consensus Scenario Assumptions
The base valuation assumes AAOI achieves its forward estimates and maintains a stable P/E multiple of 119.4x. This scenario reflects the blended consensus of 16 Wall Street analysts, balancing both positive catalysts and macroeconomic headwinds over the next 12 months.
AAOI Price Target Analysis
Updated July 8, 2026As of July 8, 2026, Applied Optoelectronics, Inc. (AAOI) has a Wall Street consensus price target of $160.00, based on estimates from 16 covering analysts. With the stock currently trading at $123.36, this represents a potential upside of +29.7%. The company has a market capitalization of $9.74B.
Analyst price targets range from a low of $160.00 to a high of $160.00, representing a 0% spread in expectations. The median target of $160.00 aligns closely with the consensus average. The tight target dispersion indicates high conviction among analysts.
The current analyst consensus rating is Buy, with 7 analysts rating the stock as a Buy or Strong Buy,6 rating it Hold, and 3 rating it Sell or Strong Sell. The mixed ratings reflect uncertainty about near-term direction.
From a valuation perspective, AAOI trades at a trailing P/E of -192.8x and forward P/E of 119.4x. Analysts expect EPS to grow +281.1% over the next year.
Investment Context: Price targets represent analyst expectations for the next 12 months and should be considered alongside your own research. Targets are based on analysts' assumptions about earnings growth, margins, and market conditions which may change. For sector-specific context, view other Technology stocks.
Analyst Sentiment Comparison
Industry Peer AnalysisAvg Peer Upside
+20.8%
Industry Consensus
Avg Forward P/E
46.1x
(Growth Premium)
Peers with Coverage
9 / 10
Active Analyst Tracking
| Company | Market Cap | Price | Target | Upside Potential | Rating | Fwd P/E | Analysts |
|---|---|---|---|---|---|---|---|
 LITELumentum Holdings Inc. | $52.2B | $731.25 | $985.82 | +34.8% | Buy | 89.2x | 25 |
 OESXOrion Energy Systems, Inc. | $42M | $12.17 | — | — | — | — | — |
 COHRCoherent, Inc. | $53.2B | $335.70 | $333.14 | -0.8% | Buy | 61.6x | 30 |
 VIAVViavi Solutions Inc. | $9.8B | $42.42 | $39.00 | -8.1% | Buy | 45.2x | 19 |
 CIENCiena Corporation | $61.4B | $433.83 | $493.42 | +13.7% | Buy | 66.4x | 42 |
 ADTNADTRAN Holdings, Inc. | $1.0B | $12.89 | $18.00 | +39.6% | Buy | 24.5x | 25 |
 CALXCalix, Inc. | $2.5B | $38.47 | $61.00 | +58.6% | Buy | 21.6x | 21 |
 CSCOCisco Systems, Inc. | $449.2B | $113.98 | $123.80 | +8.6% | Buy | 26.7x | 73 |
 ANETArista Networks, Inc. | $218.2B | $173.28 | $185.45 | +7.0% | Buy | 47.7x | 52 |
 AVGOBroadcom Inc. | $1.8T | $373.90 | $498.19 | +33.2% | Buy | 32.3x | 58 |
AAOI — Frequently Asked Questions
Quick answers to the most common questions about buying AAOI stock.
What is the AAOI stock price target for 2026?
The consensus Wall Street price target for AAOI is $160, representing 29.7% upside from the current price of $123.36. With 16 analysts covering the stock, this strong upside suggests significant value not yet reflected in today's share price.
Is AAOI a buy, sell, or hold?
AAOI has a consensus rating of "Buy" based on 16 Wall Street analysts. The rating breakdown is mixed, with 6 Hold ratings making up the largest segment. The consensus 12-month price target of $160 implies 29.7% upside from current levels.
Is AAOI stock overvalued or undervalued?
At a forward P/E of 119.3961x, AAOI trades at a premium valuation. The consensus price target of $160 (29.7% upside) suggests analysts still see growth justifying the multiple.
How high can AAOI stock go?
The most bullish Wall Street analyst has a price target of $160 for AAOI, while the most conservative target is $160. The consensus of $160 represents the median expectation. These targets typically reflect 12-month expectations.
How many analysts cover AAOI stock?
AAOI is well covered by analysts, with 16 analysts providing price targets and ratings. Of these, 0 have Strong Buy ratings, 7 have Buy ratings, 6 recommend Hold, and 3 have Sell or Strong Sell ratings. Higher analyst coverage generally indicates greater institutional interest and more reliable consensus estimates.
What is the AAOI stock forecast?
The 12-month AAOI stock forecast based on 16 Wall Street analysts shows a consensus price target of $160, with estimates ranging from $160 (bear case) to $160 (bull case). The median consensus rating is "Buy".
What is AAOI's forward P/E ratio?
AAOI trades at a forward P/E ratio of 119.4x based on next-twelve-months earnings estimates. The higher forward P/E suggests near-term earnings pressure. A forward P/E is useful for comparing valuations when earnings are expected to change significantly.
Should I buy AAOI stock?
Wall Street analysts are very optimistic on AAOI, with a "Buy" consensus rating and $160 price target (29.7% upside). 7 of 16 analysts rate it Buy or Strong Buy. This information is for educational purposes only. Always conduct your own research, consider your financial situation, and consult a financial advisor before making investment decisions.
Why do AAOI price targets vary so much?
AAOI analyst price targets range from $160 to $160, a 0% tight range reflecting strong analyst consensus. Differences stem from varying assumptions about revenue growth, profit margins, competitive dynamics, and valuation multiples. The $160 consensus represents the middle ground.
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