Replies to post #110271 on Savvy Trades and Investments

[wadegarret]

R59- AAOI

I'd be selling here today at $18, not buying. Rosenblatt talks of hopes and dreams(AAOI to get 10% share of optical transceiver market ?), while I talk reality. We hear Mar qtr guidance around 3rd week in Feb. Based on the MSFT $300M contract starting in Jan, and what they said in the Q4 CC, I'd say I expect guidance for the March qtr to be $.10-$.15. However I've crunched the numbers, and I cant see how the company will post more than $1 in 2024, unless they get another huge player ie MSFT. Now another huge player would get me back in pronto, and in fact, I'd' be selling some GERN to buy more AAOI. However for now, I believe AAOI target has already been hit at $20, and my plans are to either buy around $13 or less before earnings, or just wait and see what they say. I'm still hopeful to get another chance with AAOI, but cautiously optimistic.