NEW YORK, July 2, 2026, 14:05 EDT
- Aehr Test Systems, Inc. NASDAQ:AEHR fell about 21% to $66.74, near its intraday low, and its market value dropped to about $2.05 billion in the latest available quote data.
- FTSE Russell’s final June reconstitution file put AEHR in the Russell Microcap Index deletions list, with the new Russell indexes taking effect after the June 26 close.
- Even after the fall, Aehr still trades at about 41 times the high end of management’s fiscal 2026 revenue range, based on the latest market value and company guidance.
Aehr Test Systems, Inc. NASDAQ:AEHR dropped sharply on Thursday, with the small-cap semiconductor test equipment maker trading down about 21% at $66.74 as of the latest available data near 1:50 p.m. EDT. The stock opened at $84.20, rose as high as $87.51, then fell as low as $66.38, a 24% high-to-low break in the same session.
The selloff was far heavier than the broader tape. Invesco QQQ Trust NASDAQ:QQQ was down about 2.3%, while iShares Russell 2000 ETF NYSEARCA:IWM was off about 1.3%, based on the same latest quote set.
| Security | Last | Day move | Intraday range | Volume |
|---|---|---|---|---|
| Aehr Test Systems NASDAQ:AEHR | $66.74 | -20.9% | $66.38-$87.51 | 2.04 mln |
| Invesco QQQ Trust NASDAQ:QQQ | $708.29 | -2.3% | $708.05-$731.26 | 32.71 mln |
| iShares Russell 2000 ETF NYSEARCA:IWM | $295.29 | -1.3% | $295.17-$302.19 | 12.47 mln |
The cleanest fresh trading angle is index supply. FTSE Russell, part of London Stock Exchange Group LON:LSEG, said its 2026 Russell reconstitution moved to a semi-annual schedule and that the newly reconstituted indexes took effect after the U.S. market close on June 26. Its final Russell Microcap deletion file listed “AEHR TEST SYSTEMS” under technology. LSEG
That matters because Aehr’s fall is not just a weak chip-stock day. A scheduled index deletion can force benchmark funds and other index-aware holders to sell, but the stock’s decline was far larger than QQQ and IWM. The tape is also testing how much investors will pay now for orders that are expected to show up in fiscal 2027.
The valuation is still demanding. Aehr reported fiscal third-quarter revenue of $10.3 million, bookings of $37.2 million and backlog of $38.7 million, with “effective backlog” of $50.9 million after later bookings. Chief Executive Gayn Erickson said in April that the company expected fiscal 2026 revenue on the high side of a $45 million to $50 million range. Aehr Test Systems
| Aehr metric | Latest company figure | Market read |
|---|---|---|
| Market value | $2.05 bln | About 41x high-end fiscal 2026 revenue |
| Fiscal Q3 revenue | $10.3 mln | Down from $18.3 mln a year earlier |
| Fiscal Q3 bookings | $37.2 mln | Bookings were 3.6x quarterly revenue |
| Backlog / effective backlog | $38.7 mln / $50.9 mln | Revenue timing stays the key question |
| Second-half bookings cited April 16 | More than $92 mln | Fiscal 2027 has to carry the multiple |
Erickson said on April 16 that a record $41 million follow-on order from a lead hyperscale customer brought second-half bookings to “more than $92 million” with six weeks left in the fourth quarter. The order included Sonoma high-power package-level test and burn-in systems, burn-in modules and sockets, with deliveries expected to begin in fiscal 2027. Aehr Test Systems
The company’s latest listed release was a June 17 order update, not a cut to guidance. Aehr said it had received a follow-on production order for a fully automated FOX-XP wafer-level burn-in system, configured to test nine wafers in parallel, for a major silicon photonics customer. Erickson said the order showed “the urgency of the production ramp now underway.” Aehr Test Systems
For investors, the pressure point is conversion. Aehr’s order book has improved, but its latest reported quarterly revenue was still below the year-earlier period and the company posted a GAAP net loss of $3.2 million in the quarter. At a roughly $2 billion market value after Thursday’s drop, the stock still assumes a steep ramp from AI processor and silicon photonics customers.
The Nasdaq schedule lists regular trading hours from 9:30 a.m. to 4:00 p.m. Eastern and shows July 3 closed for the observed Independence Day holiday. That leaves Thursday as the last regular U.S. equity session before the long weekend.
