AXT Inc's stock surged 6.29% during intraday trading on Monday, continuing a recent pattern of significant gains for the semiconductor materials company.
The sharp rise follows the company's better-than-expected first quarter earnings report, where AXT reported an EPS of $(0.03), beating analyst consensus estimates of $(0.07) by 57.14%. Revenue of $26.924 million also exceeded expectations of $26.220 million. This strong performance has prompted significant analyst upgrades, with Wedbush nearly tripling its price target on AXT to $80 from $28 while maintaining an Outperform rating.
The market is repricing AXT as a strategic supplier in the AI optical interconnect space, contributing to the extended rally that has seen the stock rise dramatically over multiple recent trading sessions.
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