Lattice Semiconductor (LSCC) AI Stock Analysis

• Market Cap: $10.30B
• Dividend Yield: N/A
• Average Volume (3M): 1.95M
• Price to Earnings (P/E): 382.1
• Beta (1Y): 2.41
• Revenue Growth: -12.03%
• EPS Growth: -80.99%
• Country: US
• Employees: 1,110
• Sector: Technology
• Sector Strength: 88
• Industry: Semiconductors
• EPS (TTM): 0.28
• Shares Outstanding: 136,786,390
• 10 Day Avg. Volume: 1,823,127
• 30 Day Avg. Volume: 1,947,462
• PEG Ratio: -1.73
• Price to Book (P/B): 11.41
• Price to Sales (P/S): 15.93
• P/FCF Ratio: 67.68
• Enterprise Value/Market Cap: 0.95
• Enterprise Value/Revenue: 19.71
• Enterprise Value/Gross Profit: 29.68
• Enterprise Value/Ebitda: 164.06
• 1Y Price Target: $80.60
• Price Target Upside: 7.02% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 11
• EPS Forecast (FY): 1.05
• Revenue Forecast (FY): $520.54M

• Rating: 71 Outperform
• Price Target: $85.00 ▲(12.87% Upside)

Lattice Semiconductor's overall stock score is driven by strong technical indicators and a positive outlook from the earnings call. However, the high P/E ratio suggests overvaluation, and financial performance shows challenges in profitability and cash flow. The stock buyback program adds a positive note to the corporate events.

Positive Factors

Strong Revenue Growth

Consistent revenue growth indicates strong demand for Lattice's products, enhancing its market position and supporting long-term financial stability.

Stock Buyback Program

The stock buyback program reflects confidence in the company's financial health and commitment to enhancing shareholder value, supporting long-term investor trust.

AI and Innovation

Increasing AI adoption positions Lattice for future growth, leveraging emerging technology trends to expand its market reach and product offerings.

Negative Factors

Industrial and Automotive Segment Challenges

Challenges in these segments could limit revenue diversification and growth, impacting overall performance if not addressed effectively.

Declining Profit Margins

Decreasing profit margins suggest operational inefficiencies, which could hinder profitability and require strategic adjustments to maintain competitiveness.

Free Cash Flow Decline

Declining free cash flow growth indicates potential cash generation challenges, affecting the company's ability to invest in growth opportunities or manage debt.

Lattice Semiconductor Business Overview & Revenue Model

Company Description

Lattice Semiconductor Corporation, together with its subsidiaries, develops and sells semiconductor products in Asia, Europe, and the Americas. The company offers field programmable gate arrays that consist of four product families, including the Certus-NX and ECP, Mach, iCE40, and CrossLink. It also provides video connectivity application specific standard products. In addition, the company licenses its technology portfolio through standard IP and IP core licensing, patent monetization, and IP services. It sells its products directly to end customers, and indirectly through a network of independent manufacturers' representatives and independent distributors. The company primarily serves original equipment manufacturers in the communications and computing, consumer, and industrial and automotive end markets. Lattice Semiconductor Corporation was incorporated in 1983 and is headquartered in Hillsboro, Oregon.

How the Company Makes Money

Lattice Semiconductor generates revenue primarily through the sale of its semiconductor products, including FPGAs and other programmable devices. The company has a diverse customer base spanning multiple industries, which helps mitigate risks associated with dependency on a single sector. Key revenue streams include direct sales to OEMs (original equipment manufacturers) and distributors, as well as royalties from licensing its technology. Additionally, Lattice benefits from strategic partnerships with major technology firms that enhance its product offerings and expand its market reach. The increasing demand for low-power, high-performance solutions in emerging markets such as IoT (Internet of Things) and edge computing further contributes to the company's revenue growth.

Lattice Semiconductor Financial Statement Overview

Summary

Lattice Semiconductor demonstrates a stable financial foundation with strong profitability and cash flow metrics. However, the recent decline in revenue growth and ROE suggests potential challenges in maintaining growth momentum. The company's low leverage and robust cash flow provide a buffer against these risks, positioning it well for future opportunities in the semiconductor industry.

Income Statement

Lattice Semiconductor's income statement shows a mixed performance. The TTM data indicates a slight decline in revenue growth at -2.1%, which is a concern. However, the company maintains a healthy gross profit margin of 66.7% and a net profit margin of 6.5%. The EBIT and EBITDA margins have decreased compared to previous years, reflecting operational challenges. Overall, while profitability remains strong, the recent decline in revenue growth is a risk factor.

Balance Sheet

The balance sheet is solid with a low debt-to-equity ratio of 0.023, indicating strong financial stability. The return on equity (ROE) is 4.5% for the TTM, which is lower than previous years, suggesting reduced efficiency in generating profits from equity. The equity ratio is robust, showing a strong capital structure. Overall, the company has a stable financial position with low leverage, but the declining ROE is a point of concern.

Cash Flow

Cash flow analysis reveals a positive trajectory with a 16.3% growth in free cash flow for the TTM. The operating cash flow to net income ratio is 1.84, indicating strong cash generation relative to net income. The free cash flow to net income ratio is 0.88, reflecting efficient cash conversion. Overall, the cash flow position is strong, with healthy growth and conversion metrics, supporting the company's liquidity and operational flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	494.89M	509.40M	737.15M	660.36M	515.33M	408.12M
Gross Profit	328.76M	340.40M	514.67M	452.05M	321.68M	245.31M
EBITDA	59.47M	106.94M	255.37M	226.26M	133.94M	83.26M
Net Income	27.24M	61.13M	259.06M	178.88M	95.92M	47.39M
Balance Sheet
Total Assets	844.36M	843.90M	840.89M	798.71M	726.49M	680.07M
Cash, Cash Equivalents and Short-Term Investments	117.91M	136.29M	128.32M	145.72M	131.57M	182.33M
Total Debt	20.38M	15.25M	16.31M	148.82M	182.88M	193.75M
Total Liabilities	137.96M	132.97M	148.87M	311.55M	314.86M	295.64M
Stockholders Equity	706.40M	710.93M	692.02M	487.16M	411.63M	384.43M
Cash Flow
Free Cash Flow	123.84M	119.89M	236.34M	215.47M	157.89M	79.57M
Operating Cash Flow	162.94M	140.88M	269.59M	238.81M	167.72M	91.69M
Investing Cash Flow	-51.10M	-37.69M	-33.25M	-34.93M	-89.80M	-20.87M
Financing Cash Flow	-118.16M	-94.46M	-253.72M	-188.07M	-128.61M	-8.10M

Lattice Semiconductor Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 75.31
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LSCC, the sentiment is Positive. The current price of 75.31 is above the 20-day moving average (MA) of 73.65, above the 50-day MA of 70.29, and above the 200-day MA of 59.56, indicating a bullish trend. The MACD of 1.65 indicates Positive momentum. The RSI at 55.88 is Neutral, neither overbought nor oversold. The STOCH value of 24.20 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for LSCC.

Lattice Semiconductor Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NVMI	81 Outperform	$9.85B	42.37	23.58%	―	39.37%	40.87%
RMBS	78 Outperform	$10.38B	45.75	19.66%	―	31.05%	30.35%
LSCC	71 Outperform	$10.30B	382.09	3.86%	―	-12.03%	-80.99%
QRVO	71 Outperform	$7.91B	36.98	6.30%	―	-7.22%	―
SWKS	70 Outperform	$9.62B	21.03	7.89%	4.36%	-2.18%	-16.84%
MTSI	64 Neutral	$13.07B	-215.20	-4.42%	―	32.58%	-173.04%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

Lattice Semiconductor Corporate Events

Lattice Semiconductor Announces $250 Million Stock Buyback

On December 3, 2025, Lattice Semiconductor‘s Board of Directors approved a $250 million stock repurchase program, allowing the company to buy back its common stock without a set termination date. This move, effective immediately, reflects Lattice’s strong financial position and aims to return capital to shareholders while continuing investments in its market leadership in Small and Mid-Range FPGAs and its Companion Chip strategy.