Stock Traders Purchase High Volume of Put Options on AXT (NASDAQ:AXTI)

AXT Inc (NASDAQ:AXTI) was the target of some unusual options trading on Wednesday. Stock traders bought 9,810 put options on the company. This is an increase of approximately 73% compared to the typical volume of 5,678 put options.

AXT Stock Up 6.9%

AXTI opened at $47.36 on Thursday. The firm has a 50 day moving average price of $26.13 and a 200-day moving average price of $14.33. The stock has a market capitalization of $2.62 billion, a price-to-earnings ratio of -98.66 and a beta of 1.75. AXT has a twelve month low of $1.13 and a twelve month high of $47.94.

AXT (NASDAQ:AXTI) last released its earnings results on Thursday, February 19th. The semiconductor company reported ($0.05) EPS for the quarter, missing analysts’ consensus estimates of ($0.04) by ($0.01). AXT had a negative return on equity of 10.59% and a negative net margin of 24.07%.The firm had revenue of $23.04 million for the quarter, compared to the consensus estimate of $24.24 million. As a group, analysts expect that AXT will post -0.12 earnings per share for the current year.

Analyst Ratings Changes

AXTI has been the topic of a number of research reports. Northland Securities set a $20.00 target price on shares of AXT in a research note on Monday, December 22nd. Craig Hallum restated a “buy” rating on shares of AXT in a report on Friday, January 9th. Wall Street Zen upgraded AXT from a “sell” rating to a “hold” rating in a report on Saturday, February 14th. Needham & Company LLC lowered AXT from a “buy” rating to a “hold” rating in a research report on Tuesday, January 20th. Finally, UBS Group set a $35.00 price target on AXT in a research note on Tuesday, February 17th. Two analysts have rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, AXT presently has an average rating of “Hold” and an average target price of $22.80.

Insiders Place Their Bets

In other news, Director Jesse Chen sold 12,452 shares of AXT stock in a transaction that occurred on Monday, March 9th. The stock was sold at an average price of $37.69, for a total value of $469,315.88. Following the sale, the director directly owned 152,612 shares in the company, valued at approximately $5,751,946.28. This trade represents a 7.54% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Morris S. Young sold 125,893 shares of the business’s stock in a transaction that occurred on Monday, March 9th. The shares were sold at an average price of $36.51, for a total value of $4,596,353.43. Following the transaction, the chief executive officer directly owned 2,344,065 shares in the company, valued at $85,581,813.15. This trade represents a 5.10% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 370,455 shares of company stock worth $14,879,664. 8.80% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On AXT

Large investors have recently added to or reduced their stakes in the stock. State of Wyoming purchased a new position in shares of AXT in the 4th quarter worth approximately $69,000. Kestra Advisory Services LLC purchased a new stake in AXT during the 4th quarter valued at $98,000. Oasis Management Co Ltd. bought a new stake in AXT in the fourth quarter worth $164,000. Osaic Holdings Inc. boosted its stake in AXT by 1,071.5% during the fourth quarter. Osaic Holdings Inc. now owns 11,012 shares of the semiconductor company’s stock worth $180,000 after buying an additional 10,072 shares during the period. Finally, Jefferies Financial Group Inc. purchased a new position in AXT during the third quarter worth $52,000. 49.52% of the stock is owned by institutional investors.

AXT News Roundup

Here are the key news stories impacting AXT this week:

• Positive Sentiment: AI narrative and export-opportunity thesis: Analysts and commentators are discussing how export constraints on competitors could create an advantage for AXT’s indium phosphide (InP) substrates — reinforcing a longer‑term AI infrastructure demand story that supports upside. Can AXT Turn Export Constraints Into an AI-Focused Indium Phosphide Advantage?
• Positive Sentiment: Optimistic valuation commentary: Recent pieces highlighting an optimistic outlook tied to AI infrastructure growth have helped re-rate sentiment and attracted bargain/momentum buyers. Assessing AXT Valuation After Optimistic Outlook
• Positive Sentiment: Unusual bullish options flow and momentum: Large call‑option purchases (reported ~14,442 calls on Mar 10) and a recent two‑day rally (reported ~14.9% one session) point to short‑term bullish/speculative positioning that can amplify gains.
• Neutral Sentiment: Reported short‑interest data for early March shows anomalous/zero values in recent feeds and provides no clear signal of short covering — likely a reporting quirk rather than a driver of the move.
• Negative Sentiment: Significant insider selling: CEO Morris S. Young sold a large block (125,893 shares on Mar 9) and Director Jesse Chen has sold multiple tranches this month — sizable insider exits can raise governance/conviction concerns for investors. CEO Sale SEC Filing Director Sale SEC Filing
• Negative Sentiment: Mixed Q4/FY2025 results: Revenue declined QoQ/YoY (reported $23.0M) and GAAP gross margin softened (~20.9%), highlighting near‑term execution and demand variability that temper the AI tailwind until clearer revenue traction appears. AXT Reports Q4 & FY2025 Results
• Negative Sentiment: Rising put interest: A notable uptick in put purchases (9,810 puts, +73% vs. typical) signals some investors are hedging or positioning for downside, which can accelerate selling if sentiment shifts.

AXT Company Profile

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.