The deep value growth bulls argue that panic selling a company actively growing its revenue at 86% YoY is a mistake. The operational thesis is unchanged. Massive hyperscale cloud providers are still spending billions at data infrastructure. Demand for AAOI's ultra high speed 800G & 1.6T optical transceivers is booming.
Raising capital for expansion is not a sign of weakness. AAOI is using the money to fund massive capacity increase to boost market share.
Buying shares after the plunge means you are buying at a deep discount before it rebounds to reach new heights.
As Warren Buffett likes to say, When there is Fear in the market it is time to be greedy.
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- FabianGracie·08-25 17:0286.4% growth sounds great, but a 600M ATM is still brutal dilution. The real question is whether that capacity earns through the next pricing cycleLikeReport
- vibzee·08-25 17:02ATM panic doesn't change the core thesis. If that cash really goes into 800G and 1.6T capacity, the dilution pain can look cheap in hindsightLikeReport
- icycrystal·13:05thanks for sharingLikeReport