Data Center
Applied Optoelectronics Q1: Management Guides to 141% YoY Growth; Execution Comes Next
Applied Optoelectronics (Nasdaq: AAOI) has been one of our portfolio's biggest winners, up 350% year-to-date and 450% over the past six months. It hasn't been an easy name to accumulate, given the stock's significant volatility, driven in part by lumpy timing of AAOI's revenue. Q1 results came in roughly in line with other AI networking companies that have reported this week, with revenue of $151.1M up 51% year-over-year and 13% sequentially. The more material development was the forward guide: management now expects 2026 revenue above $1.1B, well above the prior consensus of $962M and compared to $455.7M in 2025. The updated guide implies 141% year-over-year growth, and with Q2 guided to $180M-$198M, the math points to a heavily back-weighted year as clearly the bulk of the revenue is expected to arrive in the second half.
Sign in to read the full article
Sign in with your I/O Fund account to check your plan access.
