1492 Capital Loads Up AAOI With 216,000 Shares Bought
Key Points
Added 215,987 shares of Applied Optoelectronics; estimated trade size $7.53 million (based on quarterly average price).
Quarter-end stake value increased by $7.53 million, reflecting both new buying and price movement.
Transaction accounted for 2.88% of 13F assets under management.
Post-trade stake: 215,987 shares valued at $7.53 million.
AAOI position represents 2.88% of fund AUM, making it the fund's third-largest holding.
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On February 10, 2026, 1492 Capital Management LLC disclosed a new position in Applied Optoelectronics (NASDAQ:AAOI).
What happened
According to a Securities and Exchange Commission (SEC) filing dated February 10, 2026, 1492 Capital Management LLC initiated a new position in Applied Optoelectronics, acquiring 215,987 shares. The estimated transaction value was $7.53 million based on the quarterly average share price. The stake’s quarter-end value also totaled $7.53 million, capturing both the purchase and any price changes during the quarter.
What else to know
- This was a new position, with the stake representing 2.88% of 13F reportable assets under management as of December 31, 2025
- Top five holdings after the filing:
- NYSE: CRS: $9.05 million (3.47% of AUM)
- NYSE: ZETA: $8.37 million (3.20% of AUM)
- NYSE:AAOI: $7.53 million (2.88% of AUM)
- NYSE: CPA: $7.34 million (2.81% of AUM)
- NASDAQ: GDYN: $7.31 million (2.80% of AUM)
- As of February 9, 2026, shares of Applied Optoelectronics were priced at $47.91, up 56.98% over the past year, outperforming the S&P 500 by 46.22 percentage points
Company overview
| Metric | Value |
|---|---|
| Market Capitalization | $3.31 billion |
| Employees | 3,309 |
| Revenue (TTM) | $421.71 million |
| Net Income (TTM) | ($49.57 million) |
Company snapshot
- Provides optical modules, lasers, transmitters, transceivers, and turnkey fiber-optic networking equipment for data centers, cable television, and telecom markets.
- Operates a vertically integrated model, designing, manufacturing, and selling networking hardware and optical components through direct and indirect sales channels.
- Main customers include internet data center operators, cable television and telecom equipment manufacturers, and internet service providers.
Applied Optoelectronics is a technology company specializing in the design and manufacture of fiber-optic networking products. With a global footprint and a vertically integrated business model, the company leverages in-house manufacturing to deliver high-performance optical components and modules. Its competitive edge lies in serving large-scale data center and telecom clients with advanced, cost-efficient networking solutions.
What this transaction means for investors
Investment funds buy stocks because they believe they will keep rising, and this has certainly been the case with Applied Optoelectronics.
AAOI’s 800G optical transceivers are an essential component for AI data centers, which means they are in high demand. That explains the massive gains in revenue, with revenue increased by 115% in the first nine months of 2025.
Admittedly, the net losses did not narrow a lot on account of the rising cost of goods sold. Nonetheless, the $43 million net loss for the first three quarters of 2025 was less than the $64 million lost in the same year-ago period.
Amid the rising demand for its hardware, its stock is experiencing its best performance in nine years. Additionally, it sells at a price-to-sales ratio of 7, a low level considering the massive amounts of revenue growth. That could bode well for 1492 Capital with its relatively aggressive buying of this tech stock.
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Will Healy has no position in any of the stocks mentioned. The Motley Fool recommends Copa. The Motley Fool has a disclosure policy.
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