Applied OptoelectronicsAAOI -1.87%46 Days Inventory is 165.67 as of Mar. 2026, which is 0% above its 10-year median of 165.58. GuruFocus rates AAOI with a GF Score™ of 46/100 and a GF Value™ of $20.26 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 2,414 Hardware companies, Applied Optoelectronics ranks worse than 77.34% on this metric.
Inventory Turnover measures how fast the company turns over its inventory within a year.
Applied Optoelectronics's Inventory Turnover for the
three
months ended in Mar. 2026 was 0.55.
Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue.
Applied Optoelectronics's Inventory-to-Revenue for the
three
months ended in Mar. 2026 was 1.29.
Applied Optoelectronics (NAS:AAOI) Days Inventory Explanation
Days Inventory indicates the liquidity of the inventory. Generally, a lower Days Inventory is preferred as it indicates a shorter duration to clear off the inventory. An increase of the ratio may indicate the company's sales slowed. Similar ratios related to Days Inventory are:
1. Inventory Turnover measures how fast the company turns over its inventory within a year.
Applied Optoelectronics's Inventory Turnover for the
three
months ended in Mar. 2026 is calculated as
2. Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue.
Applied Optoelectronics's Inventory to Revenue for the
three
months ended in Mar. 2026 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
A lot of business are seasonable. It makes more sense to compare Days Inventory from the same period in the previous year instead of from the previous quarter.
Applied Optoelectronics Days Inventory Related Terms
Applied Optoelectronics Days Inventory Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
AAOI vs VIAV, ZBRA, VSAT: Days Inventory Comparison
For the Communication Equipment subindustry, Applied Optoelectronics's Days Inventory, along with its competitors' market caps and Days Inventory data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Applied Optoelectronics Days Inventory vs Hardware Industry
For the Hardware industry and Technology sector, Applied Optoelectronics's Days Inventory distribution charts can be found below:
* The bar in red indicates where Applied Optoelectronics's Days Inventory falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Applied Optoelectronics (AAOI) has a Days Inventory of 165.67 as of Mar. 2026. Days inventory represents the average amount of days a company holds inventory before selling it. View historical data on Applied Optoelectronics and its competitors. This is near median its historical median of 165.58. Over the past decade, Applied Optoelectronics' Days Inventory has ranged from 107.77 to 224.90. According to the industry distribution chart, Applied Optoelectronics ranks #1867 out of 2414 companies in the Hardware industry, placing it in the top 77.3%.
Is Applied Optoelectronics' Days Inventory too high?
Applied Optoelectronics' current Days Inventory of 165.67 is near median its 10-year median of 165.58. Over the past 10 years, this metric has ranged from a low of 107.77 to a high of 224.90. The Hardware industry median Days Inventory is 94.18. Applied Optoelectronics' value of 165.67 is 75.9% above this industry median. Based on the distribution chart, Applied Optoelectronics ranks #1867 out of 2414 companies in the Hardware industry, which is in the bottom quartile relative to peers. Overall, Applied Optoelectronics has a GF Score™ of 46/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Applied Optoelectronics' Days Inventory compare to VIAV and ZBRA?
According to the Hardware industry distribution chart, Applied Optoelectronics ranks #1867 out of 2414 companies for Days Inventory. This places Applied Optoelectronics in the lower half of its industry. The industry median Days Inventory is 94.18. Applied Optoelectronics' value of 165.67 is 75.9% above this benchmark. Historically, Applied Optoelectronics' own Days Inventory has ranged from 107.77 to 224.90 over the past decade. While the company's 10-year median is 165.58 vs. the industry median of 94.18, Applied Optoelectronics has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Days Inventory for a Hardware company?
The median Days Inventory among Hardware companies is 94.18, based on 2,414 companies in the industry. Companies in the top quartile (top 25%) have a Days Inventory significantly above this median, while those in the bottom quartile fall well below. However, Days Inventory should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Applied Optoelectronics's current Days Inventory of 165.67 is 75.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Days Inventory mean?
A high Days Inventory can signal that a stock is expensive relative to its fundamentals. Days inventory represents the average amount of days a company holds inventory before selling it. View historical data on Applied Optoelectronics and its competitors. For the Hardware industry, the median Days Inventory is 94.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Applied Optoelectronics's current Days Inventory is 165.67, which is near median its own 10-year median of 165.58. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Applied Optoelectronics stock overvalued right now?
Based on GuruFocus' analysis, Applied Optoelectronics (AAOI) is currently considered Significantly Overvalued. The stock's GF Value™ is $20.26, compared to a current price of $119.95 — trading 492.1% above its estimated fair value. The current Days Inventory is 165.67, which is near median its 10-year median of 165.58 and 75.9% above the Hardware industry median of 94.18. Applied Optoelectronics' overall GF Score™ is 46/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Days Inventory calculated?
Days Inventory is calculated from a company's financial statements. For Applied Optoelectronics (AAOI), the current Days Inventory is 165.67 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Applied Optoelectronics (AAOI) Overvalued in 2026?
Based on GuruFocus' analysis, Applied Optoelectronics stock appears to be overvalued.
The current stock price of $119.95 is trading 492.1% above its estimated GF Value™ of $20.26.
GuruFocus considers Applied Optoelectronics to be Significantly Overvalued.
Key valuation signals for AAOI:
Days Inventory: 165.67 (near median its 10-year median of 165.58)
GF Value™: $20.26 vs. price of $119.95 (492.1% above fair value)
Industry Position: 75.9% above the Hardware median (#1867 of 2414)
No single metric tells the full story. See the AAOI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Applied Optoelectronics Inc is a provider of fiber-optic networking products, for four networking end-markets; internet data center, CATV, telecom, and FTTH. The Company designs and manufactures a wide range of optical communications products at varying levels of integration, from components, subassemblies, and modules to meet turn-key equipment. Through direct sales personnel, and manufacturing teams in the United States, China, and Taiwan, the company coordinates with customers to determine product design, qualifications, and performance. The Company has manufacturing and research and development facilities located in the U.S., Taiwan, and China.
46GF Score
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