Stifel raises Lattice Semiconductor stock price target to $80 on AI server growth

Published 04/11/2025, 16:14
Stifel raises Lattice Semiconductor stock price target to $80 on AI server growth

Investing.com - Stifel raised its price target on Lattice Semiconductor (NASDAQ:LSCC) to $80.00 from $60.00 on Tuesday, maintaining a Buy rating following the company’s third-quarter results. The new target approaches the analyst high of $85, reflecting confidence despite LSCC trading at a substantial P/E ratio of 319.7. According to InvestingPro data, the stock appears overvalued compared to its Fair Value.

Lattice Semiconductor reported financial results for the third quarter of 2025 that were in line with expectations, while providing fourth-quarter guidance largely matching consensus estimates.

The company’s Communications/Compute segment continues to show strength, benefiting from expanded presence in general purpose and AI servers, along with increasing attach rates in various data center applications.

The Industrial/Automotive segment faces ongoing challenges from inventory-related headwinds and demand weakness, though management reiterated expectations for inventory normalization by year-end.

Lattice Semiconductor exited the third quarter with its strongest book-to-bill ratio in almost two years, with bookings extending into the first half of 2026, and the company projects its Communications/Compute segment could grow 20% to 40% in 2026. This positive outlook comes as LSCC has already delivered impressive 40.34% returns over the past six months. InvestingPro offers 13 additional tips and comprehensive analysis on Lattice Semiconductor in its Pro Research Report, available among 1,400+ top US equities.

In other recent news, Lattice Semiconductor reported its third-quarter earnings for 2025, aligning with Wall Street forecasts. The company achieved an earnings per share of $0.28 and generated revenue of $133.3 million. Analysts at Benchmark have raised their price target for Lattice Semiconductor to $82.00, maintaining a Buy rating due to the company’s solid execution and anticipated growth trajectory. Similarly, Raymond James increased its price target to $80.00, citing the strength in Lattice’s Communications & Compute segment and maintaining an Outperform rating. These recent developments demonstrate a positive outlook from analysts, who express confidence in the company’s future growth and performance.

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