FTSE 100: Index falls as earnings results weigh; pound below $1.33, Bodycote soars
IRVINE, Calif. - Lantronix Inc. (NASDAQ: LTRX), a provider of compute and connectivity solutions for IoT with a market capitalization of approximately $79 million, announced the appointment of Sailesh Chittipeddi, Ph.D., as an independent director to its Board of Directors on Monday. Dr. Chittipeddi’s appointment, effective as of last Thursday, expands the Lantronix Board to five members, with four serving as independent directors in accordance with Nasdaq’s listing standards. According to InvestingPro analysis, the company appears undervalued based on its Fair Value estimates.
Hoshi Printer, the chairman of Lantronix’s Board, expressed confidence in Dr. Chittipeddi’s extensive experience in industrial, IoT, and infrastructure sectors, as well as his proven track record in operations, procurement, and supply chain management on a global scale. Dr. Chittipeddi is currently a Venture Partner at Novo Tellus Capital Partners, and also holds a board position at Tessolve.
Prior to joining Lantronix, Dr. Chittipeddi had a significant role at Renesas Electronics as executive vice president of Global Operations and the Industrial, IoT and Infrastructure Business Unit. His leadership at Renesas was marked by nearly doubling the unit’s revenue to over $7 billion. His career also includes leadership positions at Conexant Systems and tenure at AT&T Bell Labs, among others.
Saleel Awsare, CEO and president of Lantronix, highlighted Dr. Chittipeddi’s valuable perspective, especially in navigating the complex global supply chain and geopolitical challenges. Dr. Chittipeddi’s background is expected to contribute to Lantronix’s strategic direction and growth.
Dr. Chittipeddi holds an MBA from the University of Texas at Austin and a Ph.D. in Physics from The Ohio State University. He is credited with 83 U.S. patents and has authored more than 40 technical articles.
Lantronix specializes in IoT solutions that cater to Smart Cities, Enterprise, and Transportation sectors, providing products and services that support AI Edge Intelligence. The company’s portfolio includes Intelligent Substations, Infotainment systems, and Video Surveillance, along with advanced Out-of-Band Management for Cloud and Edge Computing. InvestingPro data shows the company maintains a strong balance sheet with a healthy current ratio of 2.68 and more cash than debt, while generating annual revenues of $143 million. Analysts tracking the stock have set price targets ranging from $4 to $8, suggesting significant potential upside from current levels. For detailed analysis and additional insights, investors can access the comprehensive Pro Research Report available on InvestingPro, covering this and 1,400+ other US equities.
This announcement is based on a press release statement from Lantronix, Inc.
In other recent news, Lantronix Inc. reported its third-quarter fiscal 2025 earnings, which fell short of analyst expectations. The company posted an earnings per share (EPS) of $0.03, missing the forecasted $0.08, and revenue of $28.5 million, which did not meet the expected $34.09 million. This underperformance was partly due to Gridspertise, a key customer, halting procurement because of excess inventory. Additionally, Lantronix experienced a significant revenue decline in the Europe, Middle East, and Africa region, attributed to production issues related to Togg EV.
Following the earnings announcement, Needham analysts revised their price target for Lantronix to $4.50 from $5.50, though they maintained a Buy rating on the shares. The company’s management has indicated a strategic shift towards aggressive product development in edge AI and compute applications, which they hope will drive future growth. Lantronix has also reported positive operating cash flow and a reduction in debt, which may bolster its financial position moving forward.
For the upcoming fourth quarter, Lantronix provided revenue guidance in the range of $26.5 to $30.5 million and an EPS estimate between $0.00 to $0.02. The company is focused on expanding its edge AI solutions and reducing its manufacturing footprint in China as part of its strategic initiatives. Despite the challenges, Lantronix is optimistic about leveraging its partnerships and innovations for future growth.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.