On June 15, AXT Inc rose 8.11% overnight, trading at $103.56/share, with turnover of $498,700. The stock previously surged over 16% on May 22 following a strong Q1 earnings beat and robust AI optical communication demand, then underwent sustained profit-taking. After entering oversold territory, a technical rebound phase began, with the stock already posting a 10%+ single-day gain on June 12.

On the fundamental side, China continues to tighten export controls on indium phosphide (InP) and upstream high-purity indium, with rejection rates for export applications from US and Japanese companies exceeding 80%. Global InP capacity remains severely constrained, and AXT, as a leading US-listed InP substrate supplier, benefits from supply chain scarcity premiums. The global InP substrate market is highly concentrated, with AXT, Sumitomo Electric, and JX Metals collectively controlling over 90% of production capacity.

The broader semiconductor equipment sector rallied, with KLA-Tencor up 5.64%, Lam Research up 4.34%, Applied Materials up 3.72%, Teradyne up 3.42%, and ASML up 2.6%, providing additional tailwinds for the rebound.

(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.)