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Why Alpha & Omega Semiconductor (AOSL) Could Be Positioned for a Surge

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Alpha & Omega Semiconductor, Ltd. (AOSL - Free Report) is a designer, developer & supplier of a portfolio of power semiconductors that could be an interesting play for investors. That is because, not only does the stock have decent short-term momentum, but it is seeing solid activity on the earnings estimate revision front as well.

These positive earnings estimate revisions suggest that analysts are becoming more optimistic on AOSL’s earnings for the coming quarter and year. In fact, consensus estimates have moved sharply higher for both of these time frames over the past four weeks, suggesting that Alpha & Omega Semiconductor could be a solid choice for investors.

Current Quarter Estimates for AOSL

In the past 30 days, 3 estimates have gone higher for Alpha & Omega Semiconductor while none has gone lower in the same time period. The trend has been pretty favorable too, with estimates increasing from a loss of 7 cents a share 30 days ago, to break-even earnings per share today, a significant move.

Current Year Estimates for AOSL

Meanwhile, Alpha & Omega Semiconductor’s current year figures are also looking quite promising, with 3 estimates moving higher in the past month, compared to none lower. The consensus estimate trend has also seen a boost for this time frame, narrowing from a loss of 33 cents per share 30 days ago to a loss of 22 cents per share today, an increase of 33.3%.

Bottom Line

The stock has also started to move higher lately, adding 7.2% over the past four weeks, suggesting that investors are starting to take note of this impressive story. So investors may definitely want to consider this Zacks Rank #2 (Buy) stock to profit in the near future.

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