Head-To-Head Analysis: Ascent Solar Technologies (NASDAQ:ASTI) vs. Applied Optoelectronics (NASDAQ:AAOI)

Applied Optoelectronics (NASDAQ:AAOI) and Ascent Solar Technologies (NASDAQ:ASTI) are both small-cap computer and technology companies, but which is the superior stock? We will contrast the two businesses based on the strength of their valuation, institutional ownership, risk, dividends, earnings, profitability and analyst recommendations.

Risk & Volatility

Applied Optoelectronics has a beta of 1.96, suggesting that its stock price is 96% more volatile than the S&P 500. Comparatively, Ascent Solar Technologies has a beta of 2.54, suggesting that its stock price is 154% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent recommendations for Applied Optoelectronics and Ascent Solar Technologies, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Applied Optoelectronics	0	2	2	0	2.50
Ascent Solar Technologies	0	0	0	0	0.00

Applied Optoelectronics presently has a consensus price target of $13.75, indicating a potential downside of 15.18%. Given Applied Optoelectronics’ stronger consensus rating and higher possible upside, equities analysts clearly believe Applied Optoelectronics is more favorable than Ascent Solar Technologies.

Earnings & Valuation

This table compares Applied Optoelectronics and Ascent Solar Technologies”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Applied Optoelectronics	$217.65 million	3.05	-$56.05 million	($1.91)	-8.49
Ascent Solar Technologies	$266,077.00	10.38	-$17.07 million	N/A	N/A

Ascent Solar Technologies has lower revenue, but higher earnings than Applied Optoelectronics.

Insider and Institutional Ownership

61.7% of Applied Optoelectronics shares are owned by institutional investors. Comparatively, 10.6% of Ascent Solar Technologies shares are owned by institutional investors. 5.4% of Applied Optoelectronics shares are owned by company insiders. Comparatively, 0.3% of Ascent Solar Technologies shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares Applied Optoelectronics and Ascent Solar Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Applied Optoelectronics	-34.84%	-19.82%	-10.51%
Ascent Solar Technologies	-4,900.29%	N/A	-144.70%

Summary

Applied Optoelectronics beats Ascent Solar Technologies on 8 of the 12 factors compared between the two stocks.

About Applied Optoelectronics

Applied Optoelectronics, Inc. designs, manufactures, and sells fiber-optic networking products in the United States, Taiwan, and China. It offers optical modules, optical filters, lasers, laser components, subassemblies, transmitters and transceivers, turn-key equipment, headend, node, distribution equipment, and amplifiers. The company sells its products to internet data center operators, cable television, telecom equipment manufacturers, fiber-to-the-home, and internet service providers through its direct and indirect sales channels. Applied Optoelectronics, Inc. was incorporated in 1997 and is headquartered in Sugar Land, Texas.

About Ascent Solar Technologies

Ascent Solar Technologies, Inc., a solar technology company, engages in the manufacture and sale of photovoltaic solar modules in the United States. The company markets and sells its products through OEMs, system integrators, distributors, retailers, and value-added resellers. It serves agrivoltaics, aerospace, satellites, near earth orbiting vehicles, and fixed wing unmanned aerial vehicles. Ascent Solar Technologies, Inc. was incorporated in 2005 and is headquartered in Thornton, Colorado.