The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Lattice Semiconductor met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew, and earnings per share improved significantly.
Gross margins dropped, operating margins shrank, net margins improved.
Lattice Semiconductor tallied revenue of $81.7 million. The five analysts polled by S&P Capital IQ predicted sales of $82.9 million. Sales were 4.0% lower than the prior-year quarter's $77.1 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
Non-GAAP EPS came in at $0.14. The three earnings estimates compiled by S&P Capital IQ forecast $0.13 per share on the same basis. GAAP EPS of $0.34 for Q3 were 182% higher than the prior-year quarter's $0.12 per share.
Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.
For the quarter, gross margin was 57.7%, 500 basis points worse than the prior-year quarter. Operating margin was 10.3%, 810 basis points worse than the prior-year quarter. Net margin was 58.4%, 3,940 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $69.0 million. On the bottom line, the average EPS estimate is $0.06.
Next year's average estimate for revenue is $317.1 million. The average EPS estimate is $0.42.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 124 members out of 140 rating the stock outperform, and 16 members rating it underperform. Among 33 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 26 give Lattice Semiconductor a green thumbs-up, and seven give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Lattice Semiconductor is outperform, with an average price target of $7.80.
New mobile devices are changing the game, and potential profitability, at many semiconductor companies. Some will fail, some will tread water, and those in the right devices will shine. Where does Lattice Semiconductor fit in? Who will lead going forward? Check out "3 Hidden Winners of the iPhone, iPad, and Android Revolution." Click here for instant access to this free report.
- Add Lattice Semiconductor to My Watchlist.
Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
More from The Motley Fool
Why Lattice Semiconductor Shares Skyrocketed Today
After months of searching, Lattice has found a buyer.
1 More Surprise Winner Inside the Apple Inc. iPhone 7
Apple included an FPGA chip inside its latest iPhone from this small programmable-logic specialist.
Why Lattice Semiconductor Corporation Shares Jumped Today
Lattice expects sales to bounce back from here.