📊 AOSL Key Takeaways
Is ALPHA & OMEGA SEMICONDUCTOR Ltd (AOSL) a Good Investment?
AOSL exhibits a strong balance sheet and excellent liquidity, but fundamental operations are deeply unprofitable with significant cash burn, likely reflecting post-acquisition integration challenges. While $190.3M in cash provides a runway to stabilize operations, the company must demonstrate rapid profitability improvement to justify investment.
ALPHA & OMEGA SEMICONDUCTOR shows strong balance-sheet quality with substantial cash, minimal long-term debt, and solid liquidity, which provides resilience despite current losses. However, profitability remains weak with negative operating and net margins, free cash flow is negative, and the extreme reported revenue growth suggests growth quality should be treated cautiously until it converts into sustained earnings and cash generation.
ALPHA & OMEGA SEMICONDUCTOR Ltd Key Strengths (AOSL)
- Low leverage with minimal debt ($1.3M) and zero debt-to-equity ratio
- Strong liquidity position with 3.32x current ratio and $190.3M cash reserves
- Substantial asset base ($976.4M) and equity cushion ($800.2M) provide financial stability
- Strong liquidity with a 3.44x current ratio and $196.34M in cash
- Very low leverage with only $2.11M of long-term debt and a near-zero debt/equity ratio
- Large equity base of $818.77M provides financial flexibility
AOSL Stock Risks: ALPHA & OMEGA SEMICONDUCTOR Ltd Investment Risks
- Negative operating cash flow (-$6.3M) and severe free cash flow burn (-$43.1M) with unprofitable operations
- Massive revenue spike (16,154% YoY) suggests acquisition/merger integration issues requiring demonstrated synergies
- Negative profitability metrics across all levels (operating margin -6.3%, net margin -5.7%) with negative returns on equity (-3.6%) and assets (-3.0%)
- Negative operating margin and net margin indicate the business is not currently generating profits
- Free cash flow is negative due to weak operating cash flow relative to capital spending
- Reported revenue growth appears unusually extreme, raising questions about sustainability and comparability
Key Metrics to Watch
- Operating cash flow return to positive territory and path to profitability
- Gross margin expansion and operating expense rationalization post-integration
- Free cash flow breakeven timeline and capital allocation efficiency
- Operating margin trend and net income improvement
- Free cash flow generation relative to capital expenditures
ALPHA & OMEGA SEMICONDUCTOR Ltd (AOSL) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 3.32x current ratio provides a solid financial cushion.
AOSL Profit Margin, ROE & Profitability Analysis
AOSL vs Technology Sector: How ALPHA & OMEGA SEMICONDUCTOR Ltd Compares
How ALPHA & OMEGA SEMICONDUCTOR Ltd compares to Technology sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is ALPHA & OMEGA SEMICONDUCTOR Ltd Stock Overvalued? AOSL Valuation Analysis 2026
Based on fundamental analysis, ALPHA & OMEGA SEMICONDUCTOR Ltd has mixed fundamental signals relative to the Technology sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
ALPHA & OMEGA SEMICONDUCTOR Ltd Balance Sheet: AOSL Debt, Cash & Liquidity
AOSL Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: ALPHA & OMEGA SEMICONDUCTOR Ltd's revenue has shown modest growth of 6% over the 5-year period. The most recent EPS of $0.42 reflects profitable operations.
AOSL Revenue Growth, EPS Growth & YoY Performance
AOSL Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2026 | $163.8M | -$13.8M | $-0.37 |
| Q2 2026 | $162.3M | -$6.6M | $-0.23 |
| Q1 2026 | $181.9M | -$2.1M | $-0.07 |
| Q3 2025 | $150.1M | -$10.8M | $-0.30 |
| Q2 2025 | $165.3M | $2.9M | $0.10 |
| Q1 2025 | $180.6M | -$2.5M | $-0.09 |
| Q3 2024 | $132.6M | -$8.3M | $-0.30 |
| Q2 2024 | $165.3M | $2.9M | $0.10 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
ALPHA & OMEGA SEMICONDUCTOR Ltd Dividends, Buybacks & Capital Allocation
AOSL SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for ALPHA & OMEGA SEMICONDUCTOR Ltd (CIK: 0001387467)
📋 Recent SEC Filings
| Date | Form | Document | Action |
|---|---|---|---|
| Jun 3, 2026 | 4 | xslF345X06/wk-form4_1780520373.xml | View → |
| May 28, 2026 | 4 | xslF345X06/wk-form4_1779999753.xml | View → |
| May 27, 2026 | 4 | xslF345X06/wk-form4_1779912163.xml | View → |
| May 26, 2026 | 4 | xslF345X06/wk-form4_1779825770.xml | View → |
| May 26, 2026 | 4 | xslF345X06/wk-form4_1779825729.xml | View → |
❓ Frequently Asked Questions about AOSL
What is the AI rating for AOSL?
ALPHA & OMEGA SEMICONDUCTOR Ltd (AOSL) has a Combined AI Grade of B from Claude (B) and ChatGPT (B) with 74% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are AOSL's key strengths?
Claude: Low leverage with minimal debt ($1.3M) and zero debt-to-equity ratio. Strong liquidity position with 3.32x current ratio and $190.3M cash reserves. ChatGPT: Strong liquidity with a 3.44x current ratio and $196.34M in cash. Very low leverage with only $2.11M of long-term debt and a near-zero debt/equity ratio.
What are the risks of investing in AOSL?
Claude: Negative operating cash flow (-$6.3M) and severe free cash flow burn (-$43.1M) with unprofitable operations. Massive revenue spike (16,154% YoY) suggests acquisition/merger integration issues requiring demonstrated synergies. ChatGPT: Negative operating margin and net margin indicate the business is not currently generating profits. Free cash flow is negative due to weak operating cash flow relative to capital spending.
What is AOSL's revenue and growth?
ALPHA & OMEGA SEMICONDUCTOR Ltd reported revenue of $508.6M.
Does AOSL pay dividends?
ALPHA & OMEGA SEMICONDUCTOR Ltd does not currently pay dividends.
Where can I find AOSL SEC filings?
Official SEC filings for ALPHA & OMEGA SEMICONDUCTOR Ltd (CIK: 0001387467) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is AOSL's EPS?
ALPHA & OMEGA SEMICONDUCTOR Ltd has a diluted EPS of $-0.98.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is AOSL's fundamental grade?
Based on our AI fundamental analysis in June 2026, ALPHA & OMEGA SEMICONDUCTOR Ltd has a B grade with 74% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is AOSL stock overvalued or undervalued?
Valuation metrics for AOSL: ROE of -3.6% (sector avg: 22%), net margin of -5.7% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.
What is AOSL's AI grade for 2026?
Our dual AI analysis gives ALPHA & OMEGA SEMICONDUCTOR Ltd a combined B grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is AOSL's free cash flow?
ALPHA & OMEGA SEMICONDUCTOR Ltd's operating cash flow is $-6.3M, with capital expenditures of $36.9M. FCF margin is -8.5%.
How does AOSL compare to other Technology stocks?
Vs Technology sector averages: Net margin -5.7% (avg: 18%), ROE -3.6% (avg: 22%), current ratio 3.32 (avg: 2.5).