Lattice Semiconductor (NASDAQ:LSCC) Posts Quarterly Earnings Results, Beats Estimates By $0.17 EPS

Lattice Semiconductor (NASDAQ:LSCC) announced its earnings results on Monday. The semiconductor company reported $0.72 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.55 by $0.17, FiscalAI reports. The firm had revenue of $291.04 million during the quarter, compared to analyst estimates of $255.90 million. Lattice Semiconductor had a return on equity of 10.92% and a net margin of 5.58%.

Here are the key takeaways from Lattice Semiconductor’s conference call:

• Record growth and strong guidance: Q3 revenue reached $291 million, up 118% year over year, while non-GAAP EPS rose 160% to $0.72. Q4 guidance calls for $325 million–$345 million in revenue and $0.82–$0.86 in EPS.
• Data center demand is accelerating, with Compute & Communications revenue up 132% year over year. Management cited rising server deployments, AI content per server, higher FPGA attach rates, and expectations for server units to grow to roughly 25 million in 2027.
• Management raised its long-term outlook, targeting at least 60% revenue growth in 2027 from an approximately $1 billion 2026 base and more than 30% compound annual growth over the next five years. Backlog extends into 2028, and Industrial & Embedded demand is recovering across automation, robotics, aerospace, medical, and autonomy applications.
• The AMI acquisition contributed $39 million of Q3 revenue and exceeded expectations with favorable mix and margins. Lattice expects AMI to grow meaningfully, while joint security, rack-management, power-and-cooling, and plug-and-play solutions are already progressing through customer proof-of-concept engagements.
• Lattice is building inventory and securing multi-year supplier agreements to support expected demand, while channel inventory will remain deliberately lean to limit overhang risk. The company plans to prioritize debt reduction, targeting net leverage below two times EBITDA by year-end 2026, before considering broader acquisition activity.

Lattice Semiconductor Stock Up 2.7%

Lattice Semiconductor stock traded up $2.47 during trading hours on Monday, hitting $95.44. The stock had a trading volume of 6,655,305 shares, compared to its average volume of 1,982,861. The stock’s 50-day moving average price is $114.86 and its 200-day moving average price is $115.42. The stock has a market capitalization of $13.08 billion, a P/E ratio of 367.08, a price-to-earnings-growth ratio of 1.41 and a beta of 1.90. Lattice Semiconductor has a 12-month low of $60.50 and a 12-month high of $157.01. The company has a quick ratio of 2.33, a current ratio of 3.02 and a debt-to-equity ratio of 0.04.

Insider Activity at Lattice Semiconductor

In related news, SVP Tracy Feanny sold 1,880 shares of the company’s stock in a transaction that occurred on Tuesday, August 18th. The stock was sold at an average price of $126.43, for a total value of $237,688.40. Following the transaction, the senior vice president directly owned 60,221 shares of the company’s stock, valued at approximately $7,613,741.03. This represents a 3.03% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP Esam Elashmawi sold 15,742 shares of the stock in a transaction on Monday, August 17th. The shares were sold at an average price of $134.77, for a total value of $2,121,549.34. Following the sale, the senior vice president owned 155,420 shares in the company, valued at approximately $20,945,953.40. This represents a 9.20% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 19,661 shares of company stock valued at $2,587,259 over the last 90 days. Corporate insiders own 0.62% of the company’s stock.

Analyst Ratings Changes

A number of equities analysts have issued reports on LSCC shares. Royal Bank Of Canada increased their price objective on Lattice Semiconductor from $140.00 to $165.00 and gave the stock an “outperform” rating in a report on Wednesday, August 5th. Jefferies Financial Group boosted their target price on shares of Lattice Semiconductor from $145.00 to $175.00 and gave the company a “buy” rating in a report on Wednesday, August 5th. Wall Street Zen downgraded shares of Lattice Semiconductor from a “strong-buy” rating to a “buy” rating in a research report on Sunday, October 18th. Benchmark began coverage on shares of Lattice Semiconductor in a research report on Tuesday, August 25th. They issued a “buy” rating and a $160.00 target price on the stock. Finally, TD Cowen lowered their price target on shares of Lattice Semiconductor from $165.00 to $130.00 and set a “buy” rating for the company in a research report on Monday, October 19th. Two investment analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating and one has given a Hold rating to the company’s stock. Based on data from MarketBeat, Lattice Semiconductor has a consensus rating of “Buy” and a consensus price target of $144.77.

About Lattice Semiconductor

Lattice Semiconductor Corporation (NASDAQ: LSCC) designs and develops low-power programmable semiconductor devices and related software. Its product portfolio includes field-programmable gate arrays (FPGAs), complex programmable logic devices, programmable system control solutions, and connectivity products that enable customers to configure and update electronic systems after manufacturing.

The company’s products are used in communications and networking equipment, industrial systems, automotive applications, data-center and computing hardware, consumer electronics, and aerospace and defense products.