Aehr Test Systems AEHR shares rallied 23.1% in the last trading session to close at $37.08. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock’s 31.6% loss over the past four weeks.
The optimism surrounding the stock can be attributed to Aehr securing a major customer for its wafer-level burn-in systems for engineering qualification and high-volume production of silicon photonics transceivers used in AI data centers.
This company is expected to post quarterly loss of $0.08 per share in its upcoming report, which represents a year-over-year change of -214.3%. Revenues are expected to be $12.9 million, down 29.6% from the year-ago quarter.
Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.
For Aehr Test Systems, the consensus EPS estimate for the quarter has been revised 20% lower over the last 30 days to the current level. And a negative trend in earnings estimate revisions doesn’t usually translate into price appreciation. So, make sure to keep an eye on AEHR going forward to see if this recent jump can turn into more strength down the road.
Aehr Test Systems is a member of the Zacks Electronics – Measuring Instruments industry. One other stock in the same industry, inTest Corporation INTT, finished the last trading session 4.8% higher at $13.65. INTT has returned 6.8% over the past month.
inTest’s consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.03. Compared to the company’s year-ago EPS, this represents a change of +127.3%. inTest currently boasts a Zacks Rank of #3 (Hold).
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