Aehr Test Systems (NASDAQ:AEHR) Shares Gap Down – Should You Sell?

Shares of Aehr Test Systems (NASDAQ:AEHR) gapped down prior to trading on Tuesday. The stock had previously closed at $63.33, but opened at $60.55. Aehr Test Systems shares last traded at $63.0570, with a volume of 470,577 shares changing hands.

Analyst Upgrades and Downgrades

A number of equities research analysts recently issued reports on the company. Wall Street Zen raised Aehr Test Systems from a “sell” rating to a “hold” rating in a research note on Saturday, July 18th. Jefferies Financial Group assumed coverage on Aehr Test Systems in a report on Thursday, August 13th. They set a “buy” rating and a $175.00 target price on the stock. Lake Street Capital reissued a “buy” rating and set a $110.00 price target on shares of Aehr Test Systems in a research report on Wednesday, July 15th. Oppenheimer began coverage on Aehr Test Systems in a report on Thursday, September 10th. They issued an “outperform” rating and a $120.00 price target for the company. Finally, Freedom Capital upgraded Aehr Test Systems from a “hold” rating to a “strong-buy” rating in a research report on Thursday, July 16th. One analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, Aehr Test Systems has a consensus rating of “Moderate Buy” and an average price target of $132.50.

Aehr Test Systems Trading Down 0.5%

The company has a market cap of $2.06 billion, a PE ratio of -262.67 and a beta of 3.47. The business has a 50 day simple moving average of $94.36 and a two-hundred day simple moving average of $90.47.

Insiders Place Their Bets

In related news, Director Howard Slayen sold 5,700 shares of the company’s stock in a transaction on Friday, August 14th. The stock was sold at an average price of $133.03, for a total value of $758,271.00. Following the completion of the transaction, the director directly owned 140,667 shares in the company, valued at approximately $18,712,931.01. This represents a 3.89% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, COO Adil Engineer sold 15,000 shares of the stock in a transaction dated Wednesday, August 12th. The stock was sold at an average price of $131.02, for a total value of $1,965,300.00. Following the transaction, the chief operating officer owned 46,977 shares in the company, valued at $6,154,926.54. This trade represents a 24.20% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders have sold 109,475 shares of company stock valued at $13,827,160. 4.60% of the stock is currently owned by company insiders.

Institutional Trading of Aehr Test Systems

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Algert Global LLC acquired a new stake in shares of Aehr Test Systems during the 2nd quarter worth $7,903,000. The Manufacturers Life Insurance Company purchased a new position in shares of Aehr Test Systems in the 1st quarter worth $291,000. Bank of America Corp DE acquired a new position in Aehr Test Systems in the second quarter valued at $11,629,000. Rice Hall James & Associates LLC acquired a new position in Aehr Test Systems in the second quarter valued at $8,410,000. Finally, Legal & General Group Plc acquired a new position in Aehr Test Systems in the second quarter valued at $2,288,000. Hedge funds and other institutional investors own 69.69% of the company’s stock.

Aehr Test Systems Company Profile

Aehr Test Systems (NASDAQ: AEHR) develops and manufactures test and burn-in equipment used to qualify and screen semiconductor devices. Its systems are designed to identify manufacturing defects and reliability issues before chips are shipped to customers, helping semiconductor manufacturers improve production yields and product quality.

The company’s product portfolio includes the FOX family of semiconductor test systems, including the FOX-XP, FOX-NP and FOX-1P platforms. Aehr also provides wafer contactors, DiePak carriers and related test fixtures and software.