Aug. 18 at 8:00 PM
My
$AAOI TLDR from the Rosenblatt Summit:
• Expected to command a premium for US-produced 800G/1.6T, which could be a meaningful tailwind for ASPs and margins.
• Multiple LTAs are on the table, but management doesn’t want to lock up capacity too early with a single customer — cough cough,
$NVDA.
• Capacity is essentially sold out through at least H2 next year and beyond, giving the company strong demand visibility similar to
$LITE.
• Already has 300–400 mW lasers in production.
• Management expects margins to reach 40%+ once CPO ramps, which could be the biggest catalyst for a potential rerating.
With this kind of demand visibility, pricing power, and margin expansion potential, it’s getting harder to make the bearish case for
$AAOI.
$AMPG