Tonya Stevens, the Interim Chief Financial Officer of Lattice (OTC:LTTC) Semiconductor Corp (NASDAQ:LSCC), has reported the sale of 365 shares of the company's common stock. The transaction, which took place on November 26, 2024, was executed at an average price of $56.10 per share, amounting to a total value of $20,476.
Following this sale, Stevens retains direct ownership of 79,760 shares in the company. The transaction was disclosed in a filing with the Securities and Exchange Commission, underscoring the ongoing financial activities of key executives within the semiconductor firm.
In other recent news, Lattice Semiconductor reported third-quarter earnings per share (EPS) of $0.24 and revenue of $127.1 million, marking a 34% decrease from the previous year due to inventory normalization. The company's guidance for the forthcoming quarters suggests further declines, attributed mainly to a 51% decrease in the industrial and automotive sectors. KeyBanc Capital Markets, TD Cowen, CFRA, Needham, and Baird have all adjusted their price targets for Lattice Semiconductor due to ongoing challenges in the industrial sector and weaker than anticipated guidance. Despite these adjustments, all firms maintain positive ratings on the company's stock.
Lattice Semiconductor has implemented a 14% reduction in its workforce and operating expenses to enhance efficiency in response to the current market conditions. The company anticipates a U-shaped recovery with low single-digit revenue growth in 2025. Analysts from various firms have expressed a long-term positive outlook for Lattice Semiconductor, highlighting the potential for revenue and earnings per share growth driven by market share gains and total addressable market expansion, particularly through the company's Avant product line.
These are among the recent developments for Lattice Semiconductor. Despite near-term headwinds, the company's strategic measures aim to improve financial performance in the forthcoming years. The company's management anticipates inventory levels to normalize by mid-2025, leading to a U-shaped recovery and a return to model growth of 15-20% revenue growth in 2026.
InvestingPro Insights
Lattice Semiconductor Corp (NASDAQ:LSCC) has been experiencing significant market movements recently, which adds context to the insider transaction reported by Interim CFO Tonya Stevens. According to InvestingPro data, LSCC has seen a strong return of 19.39% over the last three months, despite a substantial 26.89% decline over the past six months. This volatility aligns with the timing of Stevens' stock sale.
The company's financial metrics reveal a complex picture. With a market capitalization of $7.71 billion and a P/E ratio of 53.96, LSCC is trading at a high earnings multiple. This valuation is further emphasized by an InvestingPro Tip noting that the company is trading at high EBIT, EBITDA, and revenue valuation multiples.
Another relevant InvestingPro Tip indicates that 11 analysts have revised their earnings downwards for the upcoming period. This cautious outlook from analysts could be a factor influencing executive decisions regarding stock holdings.
For investors seeking a more comprehensive analysis, InvestingPro offers 18 additional tips for Lattice Semiconductor Corp, providing a deeper understanding of the company's financial health and market position.
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