Aehr Test Systems (AEHR) Stock Skyrocketing On Manufacturing Partnership


Aehr Test Systems (NASDAQ: AEHR)

Aehr Test Systems is having an incredible day in the market today after announcing that it has entered into a development and manufacturing collaboration. Today, we’ll talk about the partnership news, how the stock is reacting, and what we can expect to see from AEHR ahead. So, let’s get right to it…

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AEHR Climbs On Partnership Agreement

As mentioned above, Aehr Test Systems is having an incredible day in the market today after announcing a key collaboration. The worldwide supplier of semiconductor test and burn-in equipment and Semics, a semiconductor test equipment provider, are teaming up. Along with the partnership, Semics will purchase 200,000 shares of AEHR common stock.

Under the partnership agreement, the companies will work to develop and manufacture Aligners for AEHR multi-wafer FOX test and burn-in systems. According to the announcement, the initial products that came as a result of this partnership have already been delivered to customers and successfully implemented and qualified in a production environment. As a result, the two companies expect to work together on new wafer automation projects in the future. In a statement, Gayn Erickson, President and CEO at Aehr Test Systems, had the following to say with regard to the news:

We are very pleased to receive this investment in Aehr Test as part of our development and manufacturing partnership, which began several years ago when we first collaborated to develop the FOX WaferPak Aligner, a key component of our new FOX-P Multi-Wafer Test and Burn-in Systems. We have had a very successful working relationship with Semics, and more recntly worked together on the multi-stage prober for our initial FOX-1P next generation single wafer test system, which we shipped last month to our initial lead customer for this system.”

The above statement was followed up by Shoun Yu, CEO at Semics. Here’s what he had to say:

This is a beneficial collaboration for both companies and we have enjoyed a very good working relationship with Aehr Test. I have enjoyed a close working relationship with Gayn that dates back many years and contributed to the success of Semics from the very beginning. We are pleased to make this investment and look forward to collaborating on additional automation projects with Aehr Test in the future.”

How The Market Reacted To The News

As investors, one of the first things that we learn is that the news moves the market. Any time positive news is released with regard to a publicly-traded company, we can expect to see gains in the value of the stock associated with that company as a result. Negative news will generally lead to declines. In this particular case, the news that was released was overwhelmingly positive. As a result, we’re seeing strong gains in the value of the stock today. Currently (1:11), AEHR is trading at $2.03 per share after a gain of $0.32 per share (18.71%) thus far today.

What We Can Expect To See Moving Forward

Moving forward, I have an overwhelmingly bullish opinion of what we can expect to see from Aehr Test Systems. First and foremost, the continuation of this collaboration, and the investment offered, is incredibly positive. However, between the lines, we see another big story. The first of the products as a result of this collaboration have already been delivered and installed, meaning that a new revenue stream is coming online. All in all, it looks like everything’s going in the right direction for AEHR. So naturally, I’m expecting to see gains ahead.

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What Do You Think?

Where do you think AEHR is headed moving forward? Join the discussion at TalkTRENDZ!

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