Lantronix (NASDAQ:LTRX) Rating Lowered to Strong Sell at Zacks Research

Lantronix (NASDAQ:LTRX) was downgraded by research analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a research note issued on Monday, Zacks reports.

LTRX has been the subject of several other reports. Lake Street Capital increased their price target on shares of Lantronix from $8.00 to $10.00 and gave the stock a “buy” rating in a research note on Friday, September 18th. JonesTrading started coverage on Lantronix in a report on Wednesday, July 15th. They issued a “buy” rating and a $12.00 target price on the stock. Needham & Company LLC reaffirmed a “buy” rating and issued a $11.00 price target on shares of Lantronix in a research report on Thursday, August 27th. Wall Street Zen upgraded shares of Lantronix from a “hold” rating to a “buy” rating in a research note on Saturday, August 29th. Finally, Weiss Ratings reissued a “sell (d-)” rating on shares of Lantronix in a research report on Thursday, October 15th. Six investment analysts have rated the stock with a Buy rating and two have issued a Sell rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $10.80.

Lantronix Stock Performance

LTRX opened at $4.39 on Monday. Lantronix has a 52 week low of $4.36 and a 52 week high of $8.75. The business has a 50 day moving average of $6.00 and a 200-day moving average of $6.06.

Lantronix (NASDAQ:LTRX) last posted its quarterly earnings data on Monday, November 9th. The technology company reported $0.05 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.04 by $0.01. The business had revenue of $32.37 million during the quarter, compared to the consensus estimate of $31.98 million. Lantronix had a negative return on equity of 3.63% and a negative net margin of 2.63%. As a group, analysts expect that Lantronix will post 0.07 EPS for the current year.

Insider Buying and Selling

In other Lantronix news, CEO Saleel Awsare bought 15,000 shares of Lantronix stock in a transaction on Wednesday, September 9th. The stock was acquired at an average price of $5.18 per share, with a total value of $77,700.00. Following the acquisition, the chief executive officer owned 453,381 shares in the company, valued at approximately $2,348,513.58. This trade represents a 3.42% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Corporate insiders own 2.80% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of LTRX. First Eagle Investment Management LLC bought a new stake in Lantronix in the 3rd quarter worth about $6,889,000. Royce & Associates LP raised its position in Lantronix by 19.1% in the 3rd quarter. Royce & Associates LP now owns 1,448,513 shares of the technology company’s stock worth $10,444,000 after buying an additional 232,427 shares during the last quarter. StoneX Group Inc. purchased a new position in Lantronix in the 3rd quarter worth about $89,000. State of Wyoming lifted its stake in Lantronix by 84.0% during the 3rd quarter. State of Wyoming now owns 42,537 shares of the technology company’s stock valued at $307,000 after acquiring an additional 19,420 shares during the period. Finally, WINTON GROUP Ltd lifted its stake in Lantronix by 59.4% during the 2nd quarter. WINTON GROUP Ltd now owns 82,148 shares of the technology company’s stock valued at $483,000 after acquiring an additional 30,626 shares during the period. 39.38% of the stock is owned by institutional investors.

Key Lantronix News

Here are the key news stories impacting Lantronix this week:

• Positive Sentiment: Q1 revenue rose 8.6% year over year to $32.4 million, slightly above the $32.0 million consensus, while adjusted EPS of $0.05 topped the $0.04 estimate. Embedded IoT Solutions revenue increased 37%. Q1 results
• Positive Sentiment: CEO Elwell AWSARE purchased 15,000 shares in the past six months, a potential signal of insider confidence. Earnings and insider activity
• Neutral Sentiment: For fiscal Q2 2027, Lantronix forecast EPS of $0.04–$0.06 and revenue of $32.5 million–$34.5 million. The revenue range surrounds the $33.5 million consensus, offering no clear forecast-driven surprise. Company results and outlook
• Negative Sentiment: Profitability remained a concern: the company reported an operating loss of $558,000, a net loss of $463,000, and negative operating cash flow of $2.5 million. These pressures may be tempering the positive impact of the earnings beat. Quarterly financial details

Lantronix Company Profile

Lantronix, Inc. (NASDAQ: LTRX) is a provider of Internet of Things (IoT) and edge-computing solutions that help organizations connect, manage, and secure devices and equipment. The company serves customers in industrial, enterprise, transportation, healthcare, smart-city, and other applications where reliable remote connectivity and device management are required. Its portfolio includes embedded networking modules, industrial and cellular gateways, routers, out-of-band management products, and software for remotely provisioning, monitoring, and managing connected devices.