Applied Optoelectronics (NASDAQ:AAOI) & China Sunergy (OTCMKTS:CSUNY) Head-To-Head Survey

Applied Optoelectronics (NASDAQ:AAOI) and China Sunergy (OTCMKTS:CSUNY) are both computer and technology companies, but which is the superior investment? We will compare the two companies based on the strength of their analyst recommendations, earnings, institutional ownership, valuation, profitability, risk and dividends.

Profitability

This table compares Applied Optoelectronics and China Sunergy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Applied Optoelectronics	-38.61%	-22.36%	-12.08%
China Sunergy	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of current ratings for Applied Optoelectronics and China Sunergy, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Applied Optoelectronics	1	1	3	0	2.40
China Sunergy	0	0	0	0	0.00

Applied Optoelectronics currently has a consensus target price of $29.20, indicating a potential downside of 20.78%. Given Applied Optoelectronics’ stronger consensus rating and higher possible upside, equities analysts plainly believe Applied Optoelectronics is more favorable than China Sunergy.

Valuation & Earnings

This table compares Applied Optoelectronics and China Sunergy”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Applied Optoelectronics	$209.55 million	8.24	-$56.05 million	($2.06)	-17.89
China Sunergy	N/A	N/A	N/A	N/A	N/A

China Sunergy has lower revenue, but higher earnings than Applied Optoelectronics.

Risk and Volatility

Applied Optoelectronics has a beta of 2.37, meaning that its share price is 137% more volatile than the S&P 500. Comparatively, China Sunergy has a beta of 3.78, meaning that its share price is 278% more volatile than the S&P 500.

Insider & Institutional Ownership

61.7% of Applied Optoelectronics shares are owned by institutional investors. 5.4% of Applied Optoelectronics shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Summary

Applied Optoelectronics beats China Sunergy on 6 of the 10 factors compared between the two stocks.

About Applied Optoelectronics

Applied Optoelectronics, Inc. designs, manufactures, and sells fiber-optic networking products in the United States, Taiwan, and China. It offers optical modules, optical filters, lasers, laser components, subassemblies, transmitters and transceivers, turn-key equipment, headend, node, distribution equipment, and amplifiers. The company sells its products to internet data center operators, cable television, telecom equipment manufacturers, fiber-to-the-home, and internet service providers through its direct and indirect sales channels. Applied Optoelectronics, Inc. was incorporated in 1997 and is headquartered in Sugar Land, Texas.

About China Sunergy

China Sunergy Co., Ltd., together with its subsidiaries, designs, develops, manufactures, and markets solar cells and modules in the People's Republic of China and internationally. The company offers monocrystalline and multicrystalline silicon solar cells; and standard P-type solar cells, HP solar cells, and emitter cells, as well as solar modules for use in a range of residential, commercial, industrial, and other solar power generation systems. It also invests in, develops, and operates solar power projects. The company sells its products to system integrators, solar power project developers, and solar power product distributors under the CSUN brand name, as well as on an original equipment manufacturing basis. China Sunergy Co., Ltd. was founded in 2004 and is headquartered in Nanjing, the People's Republic of China.