AXT (NASDAQ:AXTI) Shares Gap Up – Here’s Why

AXT Inc (NASDAQ:AXTI) gapped up before the market opened on Tuesday . The stock had previously closed at $90.78, but opened at $95.71. AXT shares last traded at $91.9280, with a volume of 1,088,501 shares.

Analyst Upgrades and Downgrades

Several research analysts recently issued reports on the stock. UBS Group set a $35.00 price target on shares of AXT in a report on Tuesday, February 17th. Wedbush boosted their price objective on shares of AXT from $8.50 to $28.00 and gave the stock an “outperform” rating in a report on Friday, February 20th. Northland Securities set a $125.00 price objective on shares of AXT in a report on Wednesday, June 3rd. Weiss Ratings raised shares of AXT from a “sell (e+)” rating to a “sell (d-)” rating in a report on Wednesday, May 27th. Finally, B. Riley Financial boosted their price objective on shares of AXT to $21.00 and gave the stock a “neutral” rating in a report on Friday, February 20th. Two equities research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of “Hold” and an average target price of $43.80.

AXT Stock Down 14.7%

The company has a market cap of $5.07 billion, a PE ratio of -246.98 and a beta of 1.80. The firm’s fifty day simple moving average is $89.86 and its 200-day simple moving average is $47.95.

AXT (NASDAQ:AXTI) last announced its quarterly earnings results on Thursday, April 30th. The semiconductor company reported ($0.01) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.04) by $0.03. AXT had a negative net margin of 14.69% and a negative return on equity of 5.71%. The company had revenue of $26.92 million for the quarter, compared to the consensus estimate of $26.22 million. AXT has set its Q2 2026 guidance at 0.060-0.080 EPS. On average, analysts predict that AXT Inc will post 0.2 earnings per share for the current year.

Insider Buying and Selling

In other news, Director Jesse Chen sold 15,000 shares of the business’s stock in a transaction that occurred on Wednesday, March 11th. The shares were sold at an average price of $47.13, for a total value of $706,950.00. Following the completion of the transaction, the director owned 123,612 shares of the company’s stock, valued at $5,825,833.56. The trade was a 10.82% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, CEO Morris S. Young sold 123,601 shares of the business’s stock in a transaction that occurred on Tuesday, June 2nd. The shares were sold at an average price of $113.33, for a total transaction of $14,007,701.33. Following the completion of the transaction, the chief executive officer directly owned 2,149,533 shares of the company’s stock, valued at approximately $243,606,574.89. This represents a 5.44% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 274,622 shares of company stock valued at $26,767,557. Company insiders own 5.97% of the company’s stock.

Hedge Funds Weigh In On AXT

Institutional investors have recently modified their holdings of the company. CloudAlpha Capital Management Limited Hong Kong acquired a new position in AXT during the fourth quarter worth approximately $22,738,000. Maytree Asset Management Ltd acquired a new position in AXT during the fourth quarter worth approximately $11,156,000. Destination Wealth Management acquired a new position in AXT during the third quarter worth approximately $458,000. Penn Capital Management Company LLC acquired a new position in AXT during the third quarter worth approximately $729,000. Finally, Allworth Financial LP increased its position in AXT by 3,764.7% during the fourth quarter. Allworth Financial LP now owns 11,594 shares of the semiconductor company’s stock worth $190,000 after purchasing an additional 11,294 shares during the last quarter. Institutional investors and hedge funds own 49.52% of the company’s stock.

About AXT

AXT, Inc (NASDAQ: AXTI) is a global supplier of compound and single-element semiconductor substrates, offering a range of materials critical for high-performance electronic and optoelectronic devices. Founded in 1986 and headquartered in Fremont, California, AXT specializes in the development, manufacture and distribution of wafers composed of gallium arsenide (GaAs), indium phosphide (InP), gallium nitride (GaN) and other compound semiconductor materials. These substrates serve as the foundational platforms for devices used in data communications, wireless infrastructure, advanced computing, consumer electronics and photovoltaic applications.

AXT’s product portfolio encompasses a variety of wafer sizes, dopant concentrations and crystal orientations, tailored to meet the precise specifications of its customers.