AEHR: Testing, testing ... again

Had suggested Aehr Test Systems (AEHR) in early April 2023.

AEHR retreated further during April 2023 (under $24). From those lows, shares cleared $50 by mid-July 2023, and generally stayed between $40 - $52 thru the first week of Oct 2023.

A lot more uncertainty with AEHR now. Those following Saul and/or his board know AEHR became a significant stake. But, in mid-October, Saul posted that upon reviewing the latest quarterly results, and other factors, he completely liquidated his AEHR position (a 20% holding) over 6 days, and reallocated the proceeds.

Like many other segments, Electric Vehicle (EV) market doesn’t seem to be in great shape at the moment. On a revenue basis, this is a small company (under $100M in sales).

AEHR back under $25 today

Picked up shares on the way down (burned by Test equipment)


AEHR’s fiscal year ends on May 31st (odd, but that’s what it is)
I guess, the higher risk angle - one significant customer (ON Semiconductors) provided a vast majority of their revenue - 79%. There was another 10% customer in FY 2023. On the other hand, if the company gets another significant customer, it probably diversifies revenue significantly. From their most recent annual report–
“Aehr Test Systems provides turnkey solutions used in a wide range of test and reliability screening (burn-in) applications for high reliability semiconductors used in many applications including electric vehicles and
electric vehicle charging infrastructure, automotive applications, mobile devices, computing, solid state, memory storage, networking and data storage, and telecommunications including 5G infrastructure”

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