On June 15, AXT Inc rose 9.85% in regular trading, trading at $112.19/share, with turnover of $309 million. The rally represents a continuation of the oversold technical rebound that began after the stock pulled back sharply from its post-earnings highs.

On the news front, AXT Inc had surged over 16% on May 22 following better-than-expected Q1 results and robust AI optical communication demand, pushing through historical highs. The stock subsequently faced sustained profit-taking and intensive insider selling pressure, leading to a significant correction. On June 12, shares already rebounded over 10% in a single session, signaling the onset of a technical recovery phase.

Simultaneously, China has continued tightening export controls on indium phosphide and upstream high-purity indium, with rejection rates for export applications from US and Japanese companies exceeding 80%. This has created severe global InP capacity shortages. AXT Inc, as the leading US-listed InP substrate manufacturer, is a direct beneficiary of supply chain scarcity premiums.

The broader semiconductor equipment sector also rallied strongly, with Teradyne up 6.83%, Lam Research up 5.31%, Applied Materials up 3.39%, KLA-Tencor up 2.28%, and ASML up 1.39%, providing favorable sector-level support.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)