AXT tumbles as chip selloff and profit-taking appear to pressure shares

AXT, Inc. (AXTI) is down 15.8% today. Here is some analysis on what might have caused this price movement.

Analysis: The most likely driver appears to be a broad semiconductor selloff and profit-taking in AI-linked names rather than a fresh company-specific negative announcement. This could also be because investors are reassessing valuation after AXTI’s strong earlier run, even though recent company filings showed improving operations and a new customer supply commitment.

Details:

Broader market coverage on July 2 showed chip stocks under pressure as investors rotated out of technology and AI-related shares, which likely weighed on smaller semiconductor names such as AXTI.

AXT’s most recent quarterly update showed first-quarter 2026 revenue rising to $26.9 million from $19.4 million a year earlier, while gross margin improved to 29.6%, suggesting today’s decline was not obviously tied to a weak earnings release.

A June 2026 filing disclosed a long-term supply agreement at Tongmei, AXT’s subsidiary, with a 2027 purchase commitment valued at about $25.4 million, which points to demand support rather than an immediate operational setback.

Recent SEC ownership filings also showed a sizable June share sale by Chief Executive Morris S. Young following option exercises, which may have added to caution around the stock even if the transaction does not by itself prove a bearish outlook.

Sources:

Associated Press, SEC, Business Wire

Disclaimer: This price movement analysis was generated with the help of AI. Please double-check the information provided for mistakes.

$AXTI Insider Trading Activity

$AXTI insiders have traded $AXTI stock on the open market 33 times in the past 6 months. Of those trades, 0 have been purchases and 33 have been sales.

Here’s a breakdown of recent trading of $AXTI stock by insiders over the last 6 months:

MORRIS S YOUNG (CEO) has made 0 purchases and 7 sales selling 559,964 shares for an estimated $37,494,037.
JESSE CHEN has made 0 purchases and 20 sales selling 159,817 shares for an estimated $10,252,076.
GARY L FISCHER (CFO) has made 0 purchases and 2 sales selling 89,032 shares for an estimated $4,505,145.
DAVID C CHANG has made 0 purchases and 4 sales selling 68,333 shares for an estimated $3,385,424.

To track insider transactions, check out Quiver Quantitative's insider trading dashboard. You can access data on insider stock transactions through the Quiver Quantitative API insider transaction endpoint.

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$AXTI Hedge Fund Activity

We have seen 122 institutional investors add shares of $AXTI stock to their portfolio, and 61 decrease their positions in their most recent quarter.

Here are some of the largest recent moves:

DAVIDSON KEMPNER CAPITAL MANAGEMENT LP removed 2,734,693 shares (-100.0%) from their portfolio in Q1 2026, for an estimated $155,822,807
JANE STREET GROUP, LLC added 1,521,633 shares (+168.2%) to their portfolio in Q1 2026, for an estimated $86,702,648
POINT72 ASSET MANAGEMENT, L.P. removed 1,511,856 shares (-99.7%) from their portfolio in Q1 2026, for an estimated $86,145,554
HOOD RIVER CAPITAL MANAGEMENT LLC removed 1,485,565 shares (-73.8%) from their portfolio in Q1 2026, for an estimated $84,647,493
WT ASSET MANAGEMENT LTD added 1,347,119 shares (+inf%) to their portfolio in Q1 2026, for an estimated $76,758,840
E FUND MANAGEMENT CO., LTD. added 1,262,719 shares (+inf%) to their portfolio in Q1 2026, for an estimated $71,949,728
CLOUDALPHA CAPITAL MANAGEMENT LIMITED/HONG KONG removed 1,056,328 shares (-76.0%) from their portfolio in Q1 2026, for an estimated $60,189,569

To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard. You can access data on hedge funds moves and 13F filings through the Quiver Quantitative API 13F endpoint.

$AXTI Price Targets

Multiple analysts have issued price targets for $AXTI recently. We have seen 2 analysts offer price targets for $AXTI in the last 6 months, with a median target of $57.0.

Here are some recent targets:

Matt Bryson from Wedbush set a target price of $93.0 on 05/01/2026
Dave Kang from B. Riley Securities set a target price of $21.0 on 02/20/2026

This article is not financial advice. See Quiver Quantitative's disclaimers for more information. Note that there may be inaccuracies due to mistakes in ticker-mapping, and other anomalies.