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The share price of AXT, Inc. [NASDAQ: AXTI] inclined by $3.16, presently trading at $3.18. The company’s shares saw 17.04% gains compared to the lowest price in the period of the last 52 weeks, set at $2.72 recorded on Dec 2, 2019. The last few days have been benevolent to the share price as AXTI jumped by +1.77% during the last week, even though the stock is still down by -4.67% compared to 0.20 of all time high it touched on 11/27/19. However, the stock had a poor performance during the past 3 months, roughly gaining 1.94%, while additionally dropping -44.37% during the last 12 months. AXT, Inc. is said to have a 12-month price target set at $6.42. That means that the stock has a strong potential to acquire 3.24% increase from the current trading price.

AXT, Inc. [NASDAQ:AXTI]: Analyst Rating and Earnings

Its stock price has been found in the range of 2.72 to 6.14. This is compared to its latest closing price of $3.16.

Stay on the lookout for the next quarterly financial report – the company is expected to release the following results on Wed 19 Feb (In 79 Days).

Fundamental Analysis of AXT, Inc. [AXTI]

Now let’s turn to look at profitability: with a current Operating Margin for AXT, Inc. [AXTI] sitting at +11.86 and its Gross Margin at +36.18, this company’s Net Margin is now -2.10%. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.

This company’s Return on Total Capital is 6.35, and its Return on Invested Capital has reached 6.00%. Its Return on Equity is 5.15, and its Return on Assets is

4.44. These metrics suggest that this AXT, Inc. does a poor job of managing its assets, and likely won’t be able to provide successful business outcomes for its investors in the near term.

What about valuation? This company’s Enterprise Value to EBITDA is 5.20. The Enterprise Value to Sales for this firm is now 1.02. AXT, Inc. [AXTI] has a Price to Book Ratio of 0.93, a Price to Cash Flow Ratio of 54.43.

Shifting the focus to workforce efficiency, AXT, Inc. [AXTI] earns $131,110 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 4.83 and its Total Asset Turnover is 0.47. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 2.44 and its Current Ratio is 4.48. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.

AXT, Inc. [AXTI] has 41.36M shares outstanding, amounting to a total market cap of $130.70M. Its stock price has been found in the range of 2.72 to 6.14. At its current price, it has moved down by -48.15% from its 52-week high, and it has moved up 17.04% from its 52-week low.

This stock’s Beta value is currently 1.48, which indicates that it is 4.05% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 57.42. This RSI score is good, suggesting this stock is neither overbought or oversold.

Conclusion: Is AXT, Inc. [AXTI] a Reliable Buy?

Shares of AXT, Inc. [AXTI], on the whole, present investors with both positive and negative signals. Wall Street analysts have mixed reviews when it comes to the 12-month price outlook, and this company’s financials show a combination of strengths and weaknesses. Based on the price performance, this investment is somewhat risky while presenting reasonable potential for ROI.