Applied Optoelectronics's earnings before interest and taxes (EBIT) for the
three
months ended in Mar. 2026 was $-12.4 Mil.
Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2026 was $-47.3 Mil.
EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.
Applied Optoelectronics's annualizedROC % for the quarter that ended in Mar. 2026 was -5.95%.
Applied Optoelectronics's annualizedROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was -6.29%.
EBIT is also linked to Joel Greenblatt's definition of earnings yield.
Applied Optoelectronics's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was -0.41%.
* 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.
* 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.
For the Communication Equipment subindustry, Applied Optoelectronics's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT 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 EV-to-EBIT vs Hardware Industry
For the Hardware industry and Technology sector, Applied Optoelectronics's EV-to-EBIT distribution charts can be found below:
* The bar in red indicates where Applied Optoelectronics's EV-to-EBIT falls into.
EBIT, sometimes also called Earnings Before Interest and Taxes, is a measure of a firm's profit that includes all expenses except interest and income tax expenses. It is the difference between operating revenues and operating expenses. When a firm does not have non-operating income, then Operating Income is sometimes used as a synonym for EBIT and operating profit.
EBIT for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $-47.3 Mil.
* 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 EBIT of $-47.3 Mil as of Mar. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Applied Optoelectronics.
Is Applied Optoelectronics' EBIT too high?
Applied Optoelectronics' current EBIT is $-47.3 Mil. 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' EBIT compare to VIAV and ZBRA?
Applied Optoelectronics' EBIT of $-47.3 Mil can be compared against companies in the Hardware industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBIT for a Hardware company?
A good EBIT depends on the Hardware industry context. However, EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EBIT mean?
A high EBIT can signal that a stock is expensive relative to its fundamentals. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Applied Optoelectronics. Applied Optoelectronics's current EBIT is $-47.3 Mil. 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 $20.27, compared to a current price of $146.97 — trading 625.1% above its estimated fair value. The current EBIT is $-47.3 Mil. 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 EBIT calculated?
EBIT is calculated from a company's financial statements. For Applied Optoelectronics (AAOI), the current EBIT is $-47.3 Mil 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 $146.97 is trading 625.1% above its estimated GF Value™ of $20.27.
GuruFocus considers Applied Optoelectronics to be Significantly Overvalued.
Key valuation signals for AAOI:
EBIT: $-47.3 Mil
GF Value™: $20.27 vs. price of $146.97 (625.1% above fair value)
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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