Alpha and omega semiconductor (Nasdaq: AOSL) dropped from 3.09% to $ 40.43 at 11:13 am Friday, overthrowing previous gains. The decline follows a morning rally motivated by the news of the company Secure a key supply agreement with NVIDIA (Nasdaq: NVDA)) For the GB300 NVL72 AI Server platform.
The action initially jumped from 6.35% to $ 44.37 to 10:30 a.m. after the international securities analyst of TF Ming-Chi Kuo confirmed Alpha and Omega as the main DRMOS supplier for NVIDIA AI servers, holding a market share of 70%. However, after the initial wave, taking advantage and wider trends on the market seem to have put pressure on the stock in negative territory.
Despite the decline, Kuo projected AOSL’s growth in income in 2025 to 10% in annual shift, exceeding market consensus by 24%, and suggested that the company could break even from the second quarter of 2025, before the expectations. Alpha and Omega recently published tax profits in the second quarter of 2025, with an adjusted BPA of $ 0.09, slightly defeating consensus by $ 0.08 and revenues of $ 173.2 million, superior to the estimate of $ 170.1 million.
This article appeared for the first time on Gurufocus.