AAOI is trading 10.7% down today at $199.28 as the AI-optics rally cools and investors move to lock in profits following a historic run-up.
- The stock is seeing a sharp pullback from its recent all-time high of $233.67 after a 539% rally driven by intense enthusiasm for AI-related optical hardware.
- Analysts point to stretched valuations for the still money-losing company and a broader sector-wide cooldown as primary drivers for the sell-off despite strong top-line growth.