** Shares of Applied Optoelectronics AAOI.O up 6.2% premarket to $12.05, a six-week high, after Raymond James upgrades optics and laser maker to "outperform" from "market perform"
** Brokerage sets PT at $17, implying 50% upside to stock's last close
** AAOI has opportunities in data center transceivers and cable TV amplifiers markets, which are both "primed for "unprecedented material growth", Raymond James writes in
** In data center, co has disclosed hyperscale awards and sells to 3 of the top 5, Raymond James says, Microsoft MSFT.O and Amazon.com AMZN.O having been recent 10% customers
** Brokerage cautions execution risk remains, but adds AAOI as among the most likely cos in its coverage to experience upward estimate revisions
** 3 of 4 brokerages rate AAOI "buy" and 1 rates "hold" with median PT of $16, per LSEG data
** Through Fri close, shares have lost 41% YTD vs Nasdaq's 18% advance
(Lance Tupper is a Reuters market analyst. The views expressed are his own)
((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-646-279-6380))