Aehr Test Systems received a follow-on order for its semiconductor testing equipment from a major networking products customer.
- The company said it first received an order from the unnamed customer seven months ago.
- The customer plans to purchase additional equipment from the company this calendar year.
- The company’s robot-operated equipment is essential for conducting electrical and thermal stress tests.
Shares of Aehr Test Systems (AEHR) surged on Wednesday after the company received a follow-on order for its advanced semiconductor manufacturing equipment from an unnamed customer.
At the time of writing, AEHR stock was up more than 12% and was among the top ten trending tickers on Stocktwits.
Aehr said it received an order for its fully automated FOX-XP wafer-level burn-in system from a company that it claims is a leading networking products and solutions provider and a key player in the data center optical transceiver market.
The company first received an order from this customer seven months ago to support its effort in developing advanced silicon photonics-based transceivers that will allow for high-speed data center networking, improved performance and power efficiency.
“Data center architectures are rapidly evolving as AI infrastructure scales, driving a major transition from traditional copper interconnects to fiber optic communication links… Silicon photonics-based optical transceivers are a critical enabling technology for this transformation,” said CEO Gayn Erickson. “We believe Aehr is well positioned to participate in what could be a significant multiyear expansion of silicon photonics production driven by the growth of fiber optic interconnects in hyperscale AI data centers.”
The company’s equipment, which is operated by robots, is essential for conducting electrical and thermal stress tests. Before a silicon wafer is cut up into pieces for chips and other semiconductor-related components, the equipment tests its durability and endurance.
The demand for semiconductor-related equipment has increased as companies struggle with the ongoing supply crunch for critical components, largely driven by data center infrastructure buildout to power artificial intelligence.
The customer plans to purchase additional equipment from the company this calendar year, and the current order will be delivered in the next six months, Aehr said.
Financial details of the order were not disclosed.
On Stocktwits, retail sentiment toward AEHR stock turned ‘neutral’ from ‘bearish’ over the last 24 hours.
One bullish user on the platform said the follow-on order reflects “continued validation” from its major customer in photonics.
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Another user expects the stock to hit $150, implying a 43% upside potential from Tuesday’s closing price.
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AEHR stock has risen more than fivefold so far this year and nearly ninefold over the last 12 months, outperforming the S&P 500.
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