Question 1

What is Applied Optoelectronics's P/FCF ratio?

Accepted Answer

Applied Optoelectronics (AAOI) P/FCF ratio is currently not available. When trailing twelve-month free cash flow is negative — common during heavy capex cycles or operating losses — P/FCF is reported as N/A and analysts switch to P/S or EV/EBITDA.

Question 2

How is the P/FCF ratio calculated?

Accepted Answer

P/FCF = Market Capitalisation ÷ Trailing Twelve-Month (TTM) Free Cash Flow, where Free Cash Flow = Operating Cash Flow − Capital Expenditures. All inputs are sourced from audited GAAP/IFRS filings and translated to USD using period-end exchange rates so the multiple is comparable across companies and currencies.

Question 3

What is the P/FCF ratio?

Accepted Answer

The price-to-free-cash-flow (P/FCF) ratio compares a company's market capitalisation to its trailing twelve-month (TTM) free cash flow. It is calculated as market cap ÷ TTM free cash flow, where free cash flow = operating cash flow − capital expenditures. Because FCF cannot be inflated by non-cash accounting items, P/FCF is often considered a cleaner measure of "earnings-power valuation" than P/E — especially for capital-intensive businesses where depreciation diverges from real cash outflows.

Question 4

What is a good P/FCF ratio for Applied Optoelectronics?

Accepted Answer

Mature companies that consistently convert profit into cash often trade at 15–25× P/FCF; capital-intensive businesses with lumpy capex typically trade lower. Compare against sector peers and against the company's own multi-year average — single-year P/FCF can be distorted by working-capital swings. For Applied Optoelectronics specifically, the relevant sector benchmark is the current sector median of 21.9×.

Question 5

What is Applied Optoelectronics's historical P/FCF ratio range?

Accepted Answer

In the available daily series, Applied Optoelectronics (AAOI) P/FCF ratio has ranged from a low of 30.9× in 2017 to a high of 68.8× in 2017.

Question 6

What was Applied Optoelectronics's P/FCF ratio in 2017?

Accepted Answer

Applied Optoelectronics (AAOI) P/FCF ratio at the end of 2017 was 52.6×. Annual values reflect the multiple on the last trading day of each calendar year, using the trailing twelve-month free cash flow figure available at that date.

Question 7

Why does Applied Optoelectronics's P/FCF ratio change over time?

Accepted Answer

Valuation multiples move with two inputs: the numerator (market capitalisation, which tracks the share price) and the denominator (free cash flow). Share-price changes — driven by interest rates, earnings expectations, risk appetite, and broader market sentiment — typically dominate short-term moves, while changes in the underlying fundamental drive the longer-term trend. As a result, the ratio can rise during stock-price rallies even if the business itself has not become more valuable, and fall during sell-offs even when fundamentals are improving.

Question 8

Why is Applied Optoelectronics's P/FCF ratio not available?

Accepted Answer

When trailing twelve-month free cash flow is negative — common during heavy capex cycles or operating losses — P/FCF is reported as N/A and analysts switch to P/S or EV/EBITDA.


2025	$2.45B	-$175M	—	—	Dec 31, 2025
2024	$1.7B	-$113M	—	—	Dec 31, 2024
2023	$706M	-$22.8M	—	—	Dec 31, 2023
2022	$53.8M	-$18.3M	—	—	Dec 31, 2022
2021	$140M	-$22.3M	—	—	Dec 31, 2021
2020	$225M	-$63.6M	—	—	Dec 31, 2020
2019	$239M	-$33.9M	—	—	Dec 31, 2019
2018	$305M	-$63.2M	—	—	Dec 31, 2018
2017	$734M	$13.9M	52.6×	-5.5×	Dec 31, 2017
2016	$413M	$7.12M	58.1×	—	Dec 31, 2016
2015	$289M	-$72.8M	—	—	Dec 31, 2015
2014	$166M	-$37.2M	—	—	Dec 31, 2014
2013	$190M	-$16.3M	—	—	Dec 31, 2013


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P/FCF Ratio for Applied Optoelectronics (AAOI) 2016-2026

P/FCF Ratio daily chart for Applied Optoelectronics (AAOI)

Historical P/FCF Ratio for Applied Optoelectronics (AAOI) from 2013 to 2025

About P/FCF Ratio at Applied Optoelectronics (AAOI)

Applied Optoelectronics P/FCF Ratio by Year

Applied Optoelectronics P/FCF Ratio 2017: 52.6×

Applied Optoelectronics P/FCF Ratio 2016: 58.1×

Sector peers by P/FCF Ratio — chart

Sector peers by P/FCF Ratio — table

Frequently asked questions

Applied Optoelectronics (AAOI) Key Financials