
Lantronix (LTRX) Stock Forecast & Price Target
Lantronix (LTRX) Analyst Ratings
Bulls say
Lantronix Inc. has demonstrated strong revenue growth in the Americas, achieving its highest quarterly revenue in two years, which reflects a solid demand for its networking solutions. The company's strategic partnership with Qualcomm enhances its competitive stance, while a transition towards software solutions is anticipated to improve gross margins and deepen customer engagements. Additionally, management's focus on new design wins, such as the collaboration with Vodafone for industrial IoT air compressor tracking, indicates promising prospects for revenue growth, particularly from recurring software revenues expected within the next 12 to 24 months.
Bears say
Lantronix Inc. is experiencing stagnation in revenue growth, with projected revenue of $30 million for F2Q expected to remain flat quarter-over-quarter, which signals potential challenges in maintaining momentum in their key revenue-driving IoT Systems Solutions segment. Additionally, the company is facing a decline in net gross margin operating metrics, as the net gross margin improved to 45.3% but the net operating margin fell to 5.0%, reflecting underlying operational inefficiencies. Furthermore, macroeconomic concerns are adversely impacting capital spending in modernization within industrial sectors, creating further pressure on Lantronix's financial health and growth prospects.
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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