AEHR Stock Heads For Biggest Single-Day Gain Since July — Analysts Cut Targets Despite Earnings Beat, Raised Guidance

Aehr Test Systems raised its fiscal 2027 revenue forecast to $150 million from a previous range of $130 million to $150 million, implying 200% growth over fiscal 2026.

• Jefferies cut its Aehr price target to $140 from $175, while Lake Street lowered its target to $90 from $110.
• Aehr reported record quarterly revenue, up 200% to $33 million, while adjusted EPS reached $0.28.
• The company’s effective backlog reached $109.3 million, supporting management's higher fiscal 2027 revenue outlook.

Aehr Test Systems (AEHR) stock surged around 26%, putting it on track for its biggest single-day percentage gain since July. The rally followed the semiconductor testing equipment maker's record quarterly results and higher annual revenue guidance.

According to a note cited by TheFly, Lake Street lowered its price target on Aehr to $90 from $110 while maintaining a ‘Buy’ rating, describing the company's quarterly performance as strong.

The firm attributed its target reduction to broader compression in valuation multiples across semiconductor capital equipment stocks.

Jefferies also maintained its ‘Buy’ rating while reducing its target to $140 from $175. The firm said Aehr's new $150 million revenue forecast appeared conservative because its backlog already covered most of the fiscal year.

Record Earnings And Higher Guidance

Aehr reported fiscal first-quarter revenue of $33 million, up 200% year over year and 75% sequentially. Its earnings per share (EPS) rose to $0.28, beating FiscalAI estimates of $0.13.

The Semiconductor testing equipment maker’s quarterly bookings totaled $46.7 million, while effective backlog reached $109.3 million as of November 1, including orders received after quarter-end.

Aehr raised its fiscal 2027 revenue forecast to $150 million from a previous range of $130 million to $150 million, implying 200% growth over fiscal 2026. The company also expects non-GAAP net income of at least 20% of revenue.

AI Demand Drives Management's Outlook

CEO Gayn Erickson attributed the stronger outlook to accelerating demand for AEHR’s AI semiconductor test and burn-in solutions, a substantial backlog, and improved visibility into customer production schedules.

Aehr is shipping and installing more than a dozen Sonoma burn-in systems monthly to support a hyperscale customer's first AI processor. The customer's second processor has completed qualification, with production expected to ramp in calendar 2027.

Management also said a major AI chip supplier plans to evaluate its FOX-XP wafer-level burn-in system at a Taiwanese testing partner in early 2027, with a potential high-volume production decision following installation and validation.

What Retail Thinks About AEHR Stock

On Stocktwits, retail investors’ sentiment around AEHR stock improved to ‘extremely bullish’ from ‘neutral’ a day ago, amid extremely high user message volume. 

So far this year, AEHR stock has nearly tripled, surging over 188%. By comparison, the Vanguard Information Technology ETF (VGT), which holds the stock, has risen around 23% over this period.

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