
Lantronix (LTRX) Stock Forecast & Price Target
Lantronix (LTRX) Analyst Ratings
Bulls say
Lantronix Inc. has demonstrated robust revenue growth in the Americas, marking its strongest performance in two years, which bodes well for overall company expansion. The strategic partnership with Qualcomm enhances Lantronix's competitive advantage, particularly as a shift towards software solutions is anticipated to improve gross margins and foster deeper customer relationships. Furthermore, new engagements in the industrial IoT space, including a significant partnership with Vodafone, are expected to generate recurring software revenue and support sustained growth moving forward.
Bears say
Lantronix's financial outlook is tempered by stagnant revenue growth, as the company's forecast for F2Q revenue is expected to remain flat quarter-over-quarter at $30 million, along with a year-over-year decline in net income per share (EPS) projections. Although the company achieved record net gross margins of 45.3%, the operating margin dropped to 5.0%, indicating potential inefficiencies or increased costs impacting profitability. Furthermore, macroeconomic concerns are suppressing capital spending in industrial sectors, which poses a risk to the company's growth prospects in its primary revenue-generating segment.
This aggregate rating is based on analysts' research of Lantronix and is not a guaranteed prediction by Public.com or investment advice.
Lantronix (LTRX) Analyst Forecast & Price Prediction
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