AXT (NASDAQ:AXTI) Sets New 52-Week High – Still a Buy?

AXT Inc (NASDAQ:AXTI)’s stock price reached a new 52-week high during mid-day trading on Tuesday . The stock traded as high as $17.25 and last traded at $16.7080, with a volume of 3784074 shares traded. The stock had previously closed at $14.59.

AXT News Roundup

Here are the key news stories impacting AXT this week:

• Positive Sentiment: Unusual call buying picked up on Tuesday — traders bought 2,968 AXT call options (≈139% above the average daily call volume). This elevated call activity can signal bullish bets or hedging ahead of expected upside, and may support short-term demand for the shares. Options Volume Report
• Neutral Sentiment: AXT announced completion of an enlarged public equity offering intended to fund expansion. The company says the offering proceeds will support growth initiatives; that use of capital is positive for long-term strategy but does not eliminate near-term dilution or market pressure. AXT completes enlarged public equity offering for expansion
• Negative Sentiment: AXT priced an underwritten offering of 7,098,492 shares at $12.25 per share for gross proceeds of about $87M. Pricing the deal at a material discount to recent trading levels typically creates selling pressure and dilution fears, which weighed on the stock after the announcement. AXT Announces Pricing of $87,000,000 Public Offering of Common Stock
• Negative Sentiment: Market coverage reported the stock fell following the pricing (press and financial sites highlighted the downward move), amplifying selling momentum as investors digest dilution and the offering size. AXT stock falls after pricing public offering at $12.25 per share

Wall Street Analysts Forecast Growth

Several research analysts recently weighed in on AXTI shares. B. Riley boosted their target price on shares of AXT from $4.00 to $9.00 and gave the company a “buy” rating in a research note on Friday, October 31st. Northland Securities set a $20.00 price target on AXT in a research report on Monday, December 22nd. Weiss Ratings reissued a “sell (d-)” rating on shares of AXT in a research report on Wednesday, October 8th. Needham & Company LLC increased their price target on AXT from $5.00 to $10.00 and gave the company a “buy” rating in a report on Friday, October 31st. Finally, Wedbush set a $7.00 price objective on AXT and gave the company an “outperform” rating in a research report on Wednesday, October 29th. Three equities research analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $11.50.

AXT Stock Up 16.2%

The firm has a 50 day moving average price of $10.86 and a two-hundred day moving average price of $5.80. The company has a market capitalization of $790.30 million, a price-to-earnings ratio of -32.68 and a beta of 1.97.

AXT (NASDAQ:AXTI) last posted its quarterly earnings data on Thursday, October 30th. The semiconductor company reported ($0.04) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.12) by $0.08. The company had revenue of $27.96 million for the quarter, compared to the consensus estimate of $19.85 million. AXT had a negative return on equity of 11.19% and a negative net margin of 25.22%. Analysts predict that AXT Inc will post -0.12 earnings per share for the current year.

Insider Transactions at AXT

In other AXT news, Director David C. Chang sold 25,000 shares of the company’s stock in a transaction that occurred on Tuesday, December 9th. The stock was sold at an average price of $14.84, for a total transaction of $371,000.00. Following the sale, the director owned 132,744 shares in the company, valued at $1,969,920.96. This represents a 15.85% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, Director Leonard J. Leblanc sold 3,637 shares of AXT stock in a transaction that occurred on Friday, November 7th. The stock was sold at an average price of $8.41, for a total value of $30,587.17. Following the completion of the transaction, the director owned 118,875 shares of the company’s stock, valued at approximately $999,738.75. The trade was a 2.97% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 326,767 shares of company stock valued at $3,329,808. Insiders own 8.80% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the business. Jefferies Financial Group Inc. bought a new position in AXT during the 3rd quarter worth $52,000. XTX Topco Ltd bought a new stake in shares of AXT during the second quarter valued at approximately $42,000. Assenagon Asset Management S.A. raised its stake in AXT by 12.4% during the 3rd quarter. Assenagon Asset Management S.A. now owns 22,952 shares of the semiconductor company’s stock valued at $103,000 after acquiring an additional 2,540 shares in the last quarter. Pinpoint Asset Management Singapore Pte. Ltd. boosted its position in AXT by 2,333,600.0% during the 3rd quarter. Pinpoint Asset Management Singapore Pte. Ltd. now owns 23,337 shares of the semiconductor company’s stock worth $105,000 after acquiring an additional 23,336 shares during the period. Finally, Wesbanco Bank Inc. bought a new position in shares of AXT in the third quarter worth $112,000. 49.52% of the stock is currently owned by institutional investors.

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.