Insider Trading March 10, 2026

AXT Director Jesse Chen Disposes $542,594 in Stock Across Two Trades

Insider sells 14,452 shares as company updates guidance and analysts adjust targets amid export permit constraints

By Derek Hwang AXTI
AXT Director Jesse Chen Disposes $542,594 in Stock Across Two Trades
AXTI

Jesse Chen, a director at AXT Inc (NASDAQ:AXTI), sold 14,452 common shares in two transactions totaling $542,594. The trades occurred on March 6 and March 9, 2026. After the dispositions Chen holds 152,612 shares. The insider activity comes as AXTI trades near its 52-week high following a large one-year gain and as the company lowered fourth-quarter revenue guidance citing reduced export permits for indium phosphide from China’s Ministry of Commerce. Several analysts have revised ratings and price targets for firms in the semiconductor equipment and materials space.

Key Points

  • Director Jesse Chen sold 14,452 AXT Inc shares in two transactions on March 6 and March 9, 2026, generating $542,594 in proceeds.
  • Chen now directly owns 152,612 shares; the sales occurred while AXTI traded near its 52-week high after a 2,388% one-year gain.
  • AXT lowered Q4 revenue guidance to $22.5M-$23.5M due to reduced export permits for indium phosphide from China’s Ministry of Commerce, prompting analyst target and rating changes across the semiconductor equipment and materials sector.

Insider transactions

According to a Form 4 filing with the Securities and Exchange Commission, AXT Inc director Jesse Chen sold a total of 14,452 shares of the company’s common stock in two separate transactions. The aggregate proceeds from those sales were $542,594.

On March 6, 2026, Chen sold 2,000 shares at $36.63 per share. Three days later, on March 9, 2026, Chen sold 12,452 shares at a weighted average price of $37.6915, with execution prices for that tranche ranging from $37.29 to $38.30.

Following the two transactions Chen is recorded as directly owning 152,612 shares of AXT Inc common stock.


Market context

AXT’s share price has been elevated in recent trading, quoted at $45.95 and trading near a 52-week high of $47.03. The stock has exhibited an extraordinary one-year return of 2,388% over the past year.

InvestingPro analysis noted that, at current levels, the stock appears overvalued based on Fair Value calculations. The platform also references a Pro Research Report for AXTI and additional research tools available to subscribers.


Company guidance and industry commentary

Separately, AXT Inc revised its fourth-quarter revenue guidance downward to a range of $22.5 million to $23.5 million, reduced from an earlier forecast of $27 million to $30 million. The company attributed the expected shortfall to a decline in export permits for indium phosphide issued by China’s Ministry of Commerce.

Following the guidance update and related developments, several analyst firms adjusted their views on companies across the semiconductor equipment and materials ecosystem. Craig-Hallum raised its price target for AXT from $10 to $26, citing strong demand and AXT’s supply capabilities amid potential constraints on competitors. B. Riley moved AXT from Buy to Neutral, citing valuation concerns while increasing its price target to $18.

Needham issued upgrades elsewhere in the sector: Nova Measuring Instruments was upgraded from Hold to Buy with a $500 price target, based on the firm’s global execution and positioning in China’s memory wafer fabrication equipment market. Needham also upgraded Ichor Holdings from Hold to Buy and set a $36 price target, highlighting Ichor as a potential derivative exposure to larger semiconductor equipment suppliers.


Takeaway

The insider sale by a director coincides with elevated share prices, a steep one-year appreciation, and a company revenue outlook that was reduced because of export-permit limitations for a key material. Analysts’ revisions underline ongoing reassessments within the semiconductor equipment and materials sectors as market participants weigh demand dynamics, supply capabilities and valuation.

Risks

  • Reduced export permits for indium phosphide in China have led AXT to cut fourth-quarter revenue guidance, creating revenue and supply-chain uncertainty for the materials and semiconductor equipment sectors.
  • Valuation concerns have prompted at least one analyst downgrade despite higher price targets, indicating potential market sensitivity to stretched share prices in the semiconductor materials and equipment segment.
  • Significant recent share-price appreciation (2,388% over one year) may raise volatility and increase downside risk for equity investors in AXTI and related suppliers.

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