Why Lattice Semiconductor Stock Got Rocked on Tuesday

Source Motley_fool

It's safe to say Lattice Semiconductor (NASDAQ: LSCC) investors did not have a Tuesday they would like to remember. Their stock fell by more than 10% in price that trading session, the cause being an uninspiring quarterly earnings report. That decline was significantly steeper than the 0.8% slide of the bellwether S&P 500 (SNPINDEX: ^GSPC).

Expected declines

Lattice's first quarter revenue was just under $120.2 million, which represented a concerning year-over-year drop of almost 15%. On the bottom line, the fall was more pronounced, with non-GAAP (generally accepted accounting principles) adjusted net income sliding nearly 24% to $30.7 million, or $0.22 per share.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »

Person in wheelchair looking unhappy while wielding a laptop.

Image source: Getty Images.

Despite the declines, both headline metrics broadly met analyst expectations. The consensus pundit expectation for revenue was $120.1 million, while that for adjusted profitability was the achieved $0.22 per share.

In the earnings release, Lattice sounded a hopeful and optimistic tone for its future. It quoted CFO Lorenzo Flores as saying: "The prior realignment of our resources, coupled with our resilient supply chain and global customer base, position us well. We're maintaining disciplined control over operating expenses while continuing to focus on execution."

Guidance was in line too

Lattice proffered fairly comprehensive guidance for its current (second quarter). The company said it expects to book $118.5 million to $128.5 million in revenue, and adjusted net income ranging from $0.22 to $0.26 per share. The consensus analyst estimates fit within these ranges, with projections of $123.6 million on the top line and $0.24 for adjusted, per-share profitability.

In the earnings release, Lattice didn't directly address how it might get its growth train restarted, which was likely a factor in the negative investor reaction. If the company can't hit this goal, we can expect many market players to continue shunning the stock.

Should you invest $1,000 in Lattice Semiconductor right now?

Before you buy stock in Lattice Semiconductor, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Lattice Semiconductor wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $611,589!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $697,613!*

Now, it’s worth noting Stock Advisor’s total average return is 894% — a market-crushing outperformance compared to 163% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

See the 10 stocks »

*Stock Advisor returns as of May 5, 2025

Eric Volkman has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Gold Price Forecast: XAU/USD retreats further from all-time highs of $3,245 Gold price is back in the red early Monday, snapping a three-day record rally to lifetime highs of $3,245 set on Friday.    
Author  FXStreet
4 Month 14 Day Mon
Gold price is back in the red early Monday, snapping a three-day record rally to lifetime highs of $3,245 set on Friday.    
placeholder
Tron DEX trading volume hits yearly peak near $750M as TRX eyes upside to $0.26Tron (TRX) price holds firm above its support level, trading around $0.247 at the time of writing on Tuesday, with a potential upside target of $0.260 if the support level continues to hold.
Author  FXStreet
18 hours ago
Tron (TRX) price holds firm above its support level, trading around $0.247 at the time of writing on Tuesday, with a potential upside target of $0.260 if the support level continues to hold.
placeholder
Solana (SOL) Faces Continued Downside Risk—More Losses LikelySolana started a fresh decline from the $155 zone. SOL price is now consolidating near $145 and might extend losses below the $142 support. SOL price started a fresh decline below the $150 and $148
Author  NewsBTC
18 hours ago
Solana started a fresh decline from the $155 zone. SOL price is now consolidating near $145 and might extend losses below the $142 support. SOL price started a fresh decline below the $150 and $148
placeholder
EUR/USD Price Forecast: Remains confined in a range around 1.1300 ahead of FOMC meetingThe EUR/USD pair reverses an Asian session tip to the 1.1280-1.1275 region on Tuesday and climbs a fresh daily high in the last hour, though it lacks strong follow-through buying.
Author  FXStreet
18 hours ago
The EUR/USD pair reverses an Asian session tip to the 1.1280-1.1275 region on Tuesday and climbs a fresh daily high in the last hour, though it lacks strong follow-through buying.
placeholder
XRP Price Dips Further: Key Support Levels In JeopardyXRP price started a downside correction below the $2.20 zone. The price is now declining and might extend losses toward the $2.020 level. XRP price started a fresh decline below the $2.20 zone. The
Author  NewsBTC
18 hours ago
XRP price started a downside correction below the $2.20 zone. The price is now declining and might extend losses toward the $2.020 level. XRP price started a fresh decline below the $2.20 zone. The
goTop
quote