Why Aehr Test Systems Stock Is Soaring Higher Today
Aehr Test Systems (NASDAQ: AEHR) has had a difficult 2024 but is feeling positive about the coming quarters. Shares of Aehr traded up 30% as of 10 a.m. ET after the company said it expects fiscal 2024 revenue and net income to exceed previous guidance.
Aehr makes semiconductor testing equipment for several industries and applications. Its tools are a must-have for makers of chips destined for high-stress environments like electric vehicles (EV). The stock surged as much as 2,500% in the early years of this decade as excitement about EVs grew.
But this year, the stock has been thrown into reverse, down more than 50% in 2024 coming into Wednesday due to declining year-over-year revenue. A slowdown in EV sales, coupled with higher interest rates and general sluggishness among industrial customers, has eaten the company's sales and stunted growth.
Source Fool.com
