Aehr Test Systems stock surges 33% on next-generation AI processor production order win

Aehr Climbs 33% On Initial Production Win For Next-Gen AI Processor - Aehr Test System (NASDAQ:AEHR)

Aehr Test Systems (NASDAQ:AEHR) shares are trading higher Wednesday after the company announced an initial production purchase order from its lead production customer for package-level burn-in of a next-generation, higher-power AI processor used in data center applications. Aehr shares are climbing with conviction. Why is AEHR stock up today? Initial Production Order For Next-Gen AI Processor The initial order includes multiple Aehr Sonoma ultra-high-power package-level test and burn-in systems for production burn-in of the next-generation device. Delivery of the systems, along with turnkey burn-in modules and device-specific sockets, is scheduled for summer 2026. The customer is described as a premier large-scale data center provider developing proprietary AI accelerator ASICs for large-scale training and inference workloads and has publicly outlined plans for significant capital expenditures for AI and data center infrastructure. CEO Gayn Erickson said the order represents a key early production win for a next-generation AI processor with a leading hyperscaler. He noted that while Aehr had previously disclosed development work related to higher-power AI processors, the company had not officially been awarded the production burn-in business for this new device until now. The customer's current-generation AI processor is ramping in volume production, and Aehr said it expects a large expansion of Sonoma system purchases for that device in the second half of 2026 and into 2027. The company added that future system orders are expected to run in parallel with volume deployments of the next-generation processor, expanding its installed base and long-term consumable opportunity. Aehr said the Sonoma Ultra platform is designed to support advanced AI processors requiring high power and current levels, as well as multi-zone thermal control during burn-in. Technical Analysis: Trading Well Above Key Averages With Mixed Momentum The stock is currently trading 16.9% above its 20-day simple moving average (SMA) and 43.5% above its 100-day SMA, demonstrating significant strength in the short to medium term. Over the past 12 months, shares have increased by 254.81%, and they are currently positioned closer to their 52-week highs than lows, indicating robust performance. The RSI is at 53.14, which is considered neutral territory, suggesting that the stock is neither overbought nor oversold at this time. Meanwhile, MACD is below its signal line, indicating some bearish pressure on the stock. The combination of neutral RSI and bearish MACD suggests mixed momentum, indicating that while the stock has shown strong performance, there may be some caution among traders. Key Resistance: $34.50 Key Support: $30.00 Benzinga Edge Rankings Below is the Benzinga Edge scorecard for Aehr Test Systems, highlighting its strengths and weaknesses compared to the broader market: Momentum: Strong (Score: 95.48) -- Stock is outperforming the broader market. The Verdict: Aehr's Benzinga Edge signal reveals a strong momentum score, indicating that the stock is currently outperforming the broader market. Investors should consider this positive momentum while monitoring for any shifts in technical indicators. Aehr Shares Climb Higher AEHR Price Action: At the time of writing, Aehr shares are trading 27.51% higher at $34.38, according to data from Benzinga Pro. Image via Shutterstock This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. Market News and Data brought to you by Benzinga APIs To add Benzinga News as your preferred source on Google, click here.

Why Aehr Test Systems Stock Soared Today | The Motley Fool

Shares of Aehr Test Systems (AEHR +25.64%) took off like a rocket on Wednesday morning, rising as much as 39.7% a few minutes after the opening bell. The stock settled down to a still-impressive 25% increase as of 2 p.m. ET. The price surge lifted Aehr's stock to fresh multi-year highs, all thanks to a new contract in the artificial intelligence (AI) chip-testing space. One of the company's top customers just ordered several Aehr Sonoma test and burn-in systems with shipments scheduled for the summer of 2026. Aehr didn't name the "world-leading hyperscaler," but it's a "premier large-scale data center provider" that also designs high-performance AI accelerator chips. This profile narrows the list of possible clients down to the usual hyperscaler suspects, specifically the ones who combine premium-quality hardware designs with massive cloud computing platforms. Aehr has signaled upcoming deals with this particular client for months, but this is a firm contract with real revenue attached. The company didn't release financial details on this deal, but it should make a significant impact on Aehr's top and bottom lines as early as Q2 2026. "We believe this initial production order positions Aehr very well for high-volume system and consumable shipments later this year and into 2027," said CEO Gayn Erickson. The new contract moves Aehr closer to the epicenter of the ongoing AI boom. And Wall Street has taken notice. The stock is up by 238% over the last year and trades at 459 times forward earnings estimates. That's a lot, especially for a company with negative operating margins and negative revenue trends. Investors are baking huge growth expectations into the stock price. One large contract could be enough to drive Aehr's stock even higher as the AI surge continues to play out. However, I'd be more impressed if the company could follow up with additional deals across the hyperscaler sector. Otherwise, I'd prefer more profitable rivals with lower-priced stocks.

Aehr Test Systems stock soars after securing AI processor burn-in win By Investing.com

Investing.com -- Aehr Test Systems (NASDAQ:AEHR) stock surged 15% Wednesday morning after the company announced it secured a key production order for its Sonoma systems from a leading hyperscale customer for next-generation AI processors. The semiconductor test equipment provider received an initial order for multiple Sonoma ultra-high-power package-level test and burn-in systems, along with turnkey burn-in modules and device-specific sockets. These systems will be used for production burn-in of the customer's next-generation, higher-power AI processor designed for data center training and inference applications. According to the company, the customer is a "premier large-scale data center provider" developing proprietary AI accelerator ASICs with plans for significant capital expenditures in AI infrastructure. Delivery of the ordered systems is scheduled for summer 2026. Gayn Erickson, President and CEO of Aehr Test Systems, called this "a key early production win for a next-generation AI processor with this world leading hyperscaler." He noted that the customer's current-generation AI processor is already ramping in volume production, with forecasts for "a very large expansion of Sonoma system purchases" in the second half of 2026 and into 2027. The Sonoma Ultra platform is specifically designed to handle the extreme power density, high-current delivery, and precise thermal management required by advanced AI processors. This order represents a significant validation of Aehr's technology in the growing AI processor market. This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.