Abstract
Lattice Semiconductor will report its fiscal fourth-quarter 2025 results on February 10, 2026 Post Market, and consensus indicators point to accelerating top-line growth with improving profitability trends against a disciplined cost backdrop.
Market Forecast
Consensus and company-indicated projections for the current quarter imply revenue of $0.14 billion with year-over-year growth of 22.24%, an estimated adjusted EPS of $0.32 with year-over-year growth of 67.46%, and estimated EBIT of $44.18 million with year-over-year growth of 65.88%. Forecast detail on gross profit margin and net profit margin is not explicitly provided, but the company’s last reported margin profile suggests sustained high gross margin levels and stable net profitability. The main business outlook is anchored by Communications & Computing and Industrial & Automotive, supported by expanding FPGA attach rates and software-enabled differentiation. The most promising segment is Communications & Computing with estimated revenue of $74.03 million and solid contribution from AI-centric edge and data infrastructure demand, though explicit YoY data is not available in the forecast fields.
Last Quarter Review
In the previous quarter, Lattice Semiconductor delivered revenue of $0.13 billion, achieved a gross profit margin of 67.89%, reported GAAP net profit attributable to the parent company of $2.79 million with a net profit margin of 2.10%, and posted adjusted EPS of $0.28 with year-over-year growth of 16.67%. A key highlight was resilient profitability relative to the cycle, as adjusted EPS edged past internal estimates while EBIT closely matched expectations. Main business highlights showed Communications & Computing revenue of $74.03 million, Industrial & Automotive revenue of $50.34 million, and Consumer Services revenue of $8.98 million; YoY splits were not disclosed in the tool output.
Current Quarter Outlook
Main Business: Communications & Computing
Communications & Computing remains the revenue anchor, benefitting from sustained FPGA demand in networking, server management, and edge compute control applications. The last quarter’s revenue contribution of $74.03 million underscores a robust mix of infrastructure-related programs with elongated lifecycles and steady replenishment schedules. For the current quarter, consensus revenue acceleration toward $0.14 billion implies incremental units and richer product mix in mid-range devices, which are typically margin accretive due to software enablement and low-power positioning. Customers in data center and telecom are prioritizing power efficiency and latency, favoring FPGAs that can be updated in-field without full system redesigns, supporting both volume and price discipline. The business is well positioned to capture replacement cycles in embedded control within servers and switches, and ongoing refreshes in 5G transport and enterprise networking equipment should sustain orders even as broader semis spending normalizes.
Most Promising Business: Industrial & Automotive
Industrial & Automotive has emerged as a growth vector with diversified end markets, spanning factory automation, motor control, human-machine interfaces, and advanced driver-assistance systems. While last quarter’s revenue printed at $50.34 million, the segment’s multi-year visibility reflects design-win momentum in safety, gateway, and zonal architectures where FPGAs enable deterministic control and rapid reconfiguration. In the current quarter, an expanding pipeline of platforms in EV power electronics and sensor fusion should support unit growth, with content per vehicle rising as OEMs scale software-defined features. The segment’s vertical resilience stems from distributed industrial demand and the slow cadence of qualification in automotive, helping stabilize shipments through macro cycles. The mix tilt toward higher-value industrial automation and automotive control functions provides margin support, complementing the company’s overall gross margin posture.
Stock Price Drivers This Quarter
Three factors are likely to influence the stock: the pace of revenue re-acceleration, the sustainability of margin performance, and the breadth of new design wins that expand addressable content. Revenue growth of 22.24% year-over-year sets an expectation for normalized supply and improved demand capture, and any upside surprise in bookings or backlog conversion could trigger positive revisions. On margins, investors will watch any commentary on product mix and software attach, as these elements underpin gross margin durability near the high-60% range. Design-win disclosures—especially in AI-adjacent edge inference, automotive zonal control, and industrial machine vision—will help gauge medium-term visibility; broadening software ecosystems and toolchain enhancements often improve conversion from design to volume, thereby supporting earnings traction beyond the quarter.
Analyst Opinions
Across institutional commentary gathered since August 03, 2025, the majority of analysts hold a bullish stance, with positive views outnumbering negative ones by a ratio of 4:1. Needham’s Quinn Bolton maintains a Buy rating, citing strong growth prospects tied to expanding FPGA adoption in edge and infrastructure applications and setting expectations aligned with improving fundamentals. Robert W. Baird’s Tristan Gerra reiterates a Buy with emphasis on strategic exposure to AI-oriented workloads and robust revenue progression toward higher-value solutions, indicating support for continued outperformance if execution remains consistent. Benchmark’s David Williams reiterates Buy with a raised price target, highlighting the company’s pipeline of industrial and automotive content gains and the durability of its gross margin structure through product cycles. TD Cowen’s Joshua Buchalter maintains a constructive view, pointing to near-term EPS variability but endorsing the longer-term trajectory as design-win momentum translates into shipments; his framing aligns with consensus that the current quarter’s acceleration is a step toward multi-quarter earnings compounding. While Bank of America Securities’ Vivek Arya keeps a Sell rating, the minority view is offset by the breadth of supportive commentary from other firms focusing on differentiated low-power positioning and expanding customer engagements. The majority perspective anticipates that this quarter’s delivery, centered on $0.14 billion revenue with materially higher EPS, will validate the improving setup and reinforce higher-quality growth in the core FPGA franchises.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
Comments