AAOI
TechnologyApplied Optoelectronics, Inc. · Semiconductors · $8B
AAOI — Key Takeaways
✅ Strengths
⚠️ Areas of Concern
AAOI — Score History
| Date | UQS | Quality | Moat | Growth | Risk | Value | Change |
|---|---|---|---|---|---|---|---|
| Apr 8, 2026 | 40.7 | 3.3 | 18.0 | 91.7 | 43.6 | 69.8 | 0.0 |
| Apr 7, 2026 | 40.7 | 3.3 | 18.0 | 91.7 | 43.6 | 69.8 | 0.0 |
| Apr 6, 2026 | 40.7 | 3.3 | 18.0 | 91.7 | 43.6 | 69.8 | 0.0 |
| Apr 5, 2026 | 40.7 | 3.3 | 18.0 | 91.7 | 43.6 | 69.8 | -0.7 |
| Apr 4, 2026 | 41.4 | 3.3 | 18.0 | 91.7 | 43.6 | 74.8 | 0.0 |
| Apr 3, 2026 | 41.4 | 3.3 | 18.0 | 91.7 | 43.6 | 74.8 | 0.0 |
| Apr 2, 2026 | 41.4 | 3.3 | 18.0 | 91.7 | 43.6 | 74.8 | — |
AAOI — Pillar Breakdown
Quality
— 3.3/100 (25%)Applied Optoelectronics, Inc. currently shows below-average quality metrics, suggesting challenges with profitability.
How effectively capital is deployed to generate returns.
Profitability relative to shareholders' equity.
Ability to convert revenue into operating profit.
Bottom-line profit as a share of revenue.
Asset productivity — how much gross profit each dollar of assets generates.
Free cash flow relative to market value.
Growth
— 91.7/100 (20%)Applied Optoelectronics, Inc. is growing rapidly with strong revenue and earnings expansion.
Revenue trajectory over the last twelve months.
Compound annual revenue growth rate over 3 years.
Year-over-year earnings per share growth.
Analyst consensus for future revenue growth.
Analyst consensus for future earnings growth.
Risk
— 43.6/100 (15%)Applied Optoelectronics, Inc. has some risk factors including moderate leverage or solvency concerns.
Debt levels relative to earnings capacity.
Total debt relative to shareholder equity.
Short-term liquidity — ability to pay near-term obligations.
Earnings capacity relative to interest payments.
Valuation
— 69.8/100 (15%)Applied Optoelectronics, Inc. trades at a reasonable valuation with decent earnings yield and FCF multiples.
Inverse of forward P/E — higher yield means cheaper stock.
P/E relative to earnings growth — lower is more attractive.
Moat
— 18/100 (30%)Applied Optoelectronics, Inc. operates in a highly competitive environment with limited sustainable advantages. The Moat pillar evaluates competitive advantages across five dimensions: Switching Costs, Network Effects, Cost Advantage, Intangible Assets, and Scale & Ecosystem. Sign in to customize moat ratings for AAOI.
Score Composition
More Stock Analysis
How is the AAOI UQS Score Calculated?
The UQS (Unified Quality Score) for Applied Optoelectronics, Inc. is calculated using a proprietary 5-pillar framework with 25 financial metrics. Each pillar evaluates a different dimension on a 0–100 scale, then combines into a single weighted score. Scoring thresholds are calibrated per sector.
Quality (25%) measures profitability and capital efficiency — ROIC, ROE, margins, GP/Assets, and FCF Yield.
Moat (25%) assesses Applied Optoelectronics, Inc.'s competitive advantages across switching costs, network effects, cost advantages, intangible assets, and ecosystem scale.
Growth (20%) tracks revenue trajectory and earnings momentum, combining historical results with analyst forward estimates.
Risk (15%) is inversely scored — lower leverage and strong balance sheet health result in higher scores.
Valuation (15%) measures whether Applied Optoelectronics, Inc. is fairly priced using earnings yield, price-to-FCF, PEG ratio, and EV/EBITDA relative to sector peers.
Six investor-inspired presets are available, each with different pillar weights: Balanced, Buffett, Munger, Lynch, Cathie Wood, and Graham. The public score shown here uses the Balanced preset. Learn more in our FAQ.