$Alpha & Omega Semiconductor (AOSL.US)$fell more than 14% after hours Wednesday even though the chipmaker beat analyst estimates for fiscal Q2 earnings and revenue. AOSL fell 14.1% to $37.21 shortly before 5 p.m. ET despite reporting $0.09 in non-GAAP earnings on $173.2 million of revenues. That exceeded the $0.08 in adjusted EPS on $170.1 million in revenues that published reports indicated analyst...
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Alpha and Omega Semiconductor's low P/S ratio may be due to limited future growth expectations. The company's inferior revenue outlook contributes to its low P/S, as investors see insufficient potential for revenue improvement to justify a higher ratio.
Analysts suggest that the recent sell-off could be an investment opportunity with signs of a long-term growth trend. Insider buys could create a more favorable outlook for the company.
Despite AOSL's low return on equity compared to a 15% industry average, it saw remarkable net income growth due to strategic decisions and a low payout ratio. Continued growth is expected, indicating a bright future.
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Alpha & Omega Semiconductor Stock Discussion
AOSL fell 14.1% to $37.21 shortly before 5 p.m. ET despite reporting $0.09 in non-GAAP earnings on $173.2 million of revenues. That exceeded the $0.08 in adjusted EPS on $170.1 million in revenues that published reports indicated analyst...
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