AXT Q2 Earnings Preview: I Was Much Too Early, But The AI Inflection Point Has Arrived

AXT (AXTI) now trades well below its recent equity offering price, presenting a compelling value and a strong buy opportunity ahead of Q2 2026 earnings. I anticipate Q2 2026 will confirm accelerating revenue, margin recovery, a robust $100M+ backlog, and a potential inflection to profitability. Management guides for $34M revenue and $0.06–$0.08 non-GAAP EPS, with Indium Phosphide revenue expected to exceed $17M, breaking company records. Gross margin momentum is key; a GAAP gross margin of 30%+ would signal continued operational improvement and support the bullish thesis.

I will make no attempt at all to pretend that my original call to buy shares of AXT ( AXTI ) back in May was a good one. At that time, the stock traded at $104.48 per share, and This article was written by Ryan Canady 488 Followers Follow Investing wisely does not have to be rocket science. It is about discipline and running the numbers. You don't have to be like a grandmaster chess player playing the game twenty moves ahead of your opponent, you just need to understand how the pieces work.