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Alpha & Omega Semiconductor shares drop 27% despite beating Q3 earnings estimates.

Company Fundamentals
07 May 2026
Lekha Gupta
View Source
Bearish
pluang ai news

Alpha & Omega Semiconductor reported a Q3 adjusted loss per share of 28 cents, better than the expected 34 cents, and revenue of $163.8 million, slightly above estimates. Despite this, shares fell nearly 27% due to weakened gross margins and cautious guidance for Q4 revenue between $158 million and $178 million, below the $171 million consensus. CEO Stephen Chang highlighted strength in AI, servers, and graphics, expecting near-term revenue lows in Q4 with improvement in Q2 2026 as demand for high-performance products grows. The company anticipates modest full-year growth in 2026 with stronger acceleration from 2027 onward driven by R&D investments.

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