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Applied Optoelectronics vs Ribbon Communications

Ribbon Communications is the larger business, with $845m of revenue in fiscal 2025 against $456m for Applied Optoelectronics (1.9 times as much). Applied Optoelectronics grew faster (82.8% against 1.3%). Ribbon Communications kept more of each dollar of sales as profit: a net margin of 4.7% against -8.4%. Applied Optoelectronics carries less debt relative to equity (22.3% against 76.2%).

Latest fiscal yearApplied OptoelectronicsAAOI, 2025Ribbon CommunicationsRBBN, 2025
Revenue $456m $845m
Revenue growth 82.8% 1.3%
Net income −$38.2m $39.6m
Operating margin -12.0% -0.4%
Net margin -8.4% 4.7%
Return on equity -7.9% 9.3%
Free cash flow −$354m $26.1m
Cash $206m $96.4m
Total debt $164m $342m
Debt to equity 22.3% 76.2%
Dividend per share — —
Dividend yield — —
Share buybacks — $9.0m
Employees 4,691 —
Market value $5.33bn $287m
Price vs our value range — —
Moat score 16 (Weak) 54 (Moderate)
Insider trades, 12 months 0 buys, 53 sales 4 buys, 0 sales

Each figure is from the company's latest annual report and links to the page it comes from. Fiscal years can end on different dates. Market value and the value verdict use the delayed price shown on the stock pages. Not a recommendation.

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Figures from each company's latest annual report filed with the SEC (10-K or 20-F), as reported, with the fiscal year shown. Not investment advice. How we read filings: methodology.