Arteris (NASDAQ:AIP) Releases Quarterly Earnings Results, Beats Expectations By $0.03 EPS

Arteris (NASDAQ:AIP) released its earnings results on Thursday. The company reported ($0.05) EPS for the quarter, topping the consensus estimate of ($0.08) by $0.03, FiscalAI reports. The company had revenue of $20.14 million during the quarter, compared to analysts’ expectations of $18.55 million.

Here are the key takeaways from Arteris’ conference call:

• Record commercial momentum — Arteris reported ACV plus royalties of $83.6M (+28% YoY), Q4 revenue of $20.1M (+30% YoY), and RPO of $117M (+32% YoY), with variable royalties up ~50% YoY.
• Strong profitability and balance sheet — Non‑GAAP gross margin was ~92%, the company finished with $59.5M in cash and no debt, and generated positive free cash flow for the year.
• Acquisition of Cycuity — Closed Jan 14, 2026, adding semiconductor cybersecurity assurance tools that expand addressable market and cross‑sell opportunities (guidance includes ~ $7M revenue from Cycuity in 2026, with a modest ~ $1M expected near‑term drag and ~1–2pp gross margin accounting impact).
• Bullish 2026 outlook and path to profitability — Guidance targets ACV exit of $100–104M and revenue of $89–93M (including Cycuity), with management expecting a non‑GAAP operating profit as early as Q4 2026.
• Product and customer momentum — AI‑focused products like FlexGen (licensed for 30+ production deployments) and Ncore/FlexNoC saw increased adoption by customers such as AMD, NXP, Black Sesame and Blaize, while chiplet projects using Arteris tech have more than tripled in two years.

Arteris Stock Performance

Shares of NASDAQ:AIP traded down $0.45 on Friday, hitting $14.47. The company’s stock had a trading volume of 617,909 shares, compared to its average volume of 452,640. Arteris has a 12 month low of $5.46 and a 12 month high of $19.85. The company has a market capitalization of $632.05 million, a price-to-earnings ratio of -17.39 and a beta of 1.47. The stock’s 50-day moving average is $16.28 and its two-hundred day moving average is $13.24.

Insiders Place Their Bets

In related news, CEO K Charles Janac sold 70,000 shares of the company’s stock in a transaction that occurred on Monday, December 8th. The shares were sold at an average price of $17.71, for a total value of $1,239,700.00. Following the completion of the sale, the chief executive officer owned 9,469,071 shares in the company, valued at approximately $167,697,247.41. This represents a 0.73% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, major shareholder Bayview Legacy, Llc sold 70,000 shares of the stock in a transaction on Monday, December 8th. The stock was sold at an average price of $17.71, for a total transaction of $1,239,700.00. Following the transaction, the insider directly owned 9,469,071 shares in the company, valued at $167,697,247.41. The trade was a 0.73% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 689,072 shares of company stock worth $11,525,611 over the last 90 days. Insiders own 29.10% of the company’s stock.

Hedge Funds Weigh In On Arteris

A number of hedge funds have recently bought and sold shares of the business. Campbell & CO Investment Adviser LLC lifted its holdings in shares of Arteris by 29.9% in the fourth quarter. Campbell & CO Investment Adviser LLC now owns 16,449 shares of the company’s stock valued at $255,000 after purchasing an additional 3,791 shares in the last quarter. Deutsche Bank AG increased its stake in Arteris by 7.7% in the 4th quarter. Deutsche Bank AG now owns 21,159 shares of the company’s stock worth $328,000 after acquiring an additional 1,504 shares during the last quarter. Cerity Partners LLC purchased a new position in shares of Arteris during the 4th quarter valued at about $233,000. Intech Investment Management LLC increased its holdings in shares of Arteris by 9.3% in the fourth quarter. Intech Investment Management LLC now owns 13,540 shares of the company’s stock worth $210,000 after buying an additional 1,148 shares during the period. Finally, Public Employees Retirement System of Ohio raised its stake in shares of Arteris by 12.3% during the third quarter. Public Employees Retirement System of Ohio now owns 23,913 shares of the company’s stock valued at $242,000 after acquiring an additional 2,613 shares during the last quarter. 64.36% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

Several research firms have recently weighed in on AIP. Weiss Ratings reiterated a “sell (d-)” rating on shares of Arteris in a research note on Wednesday, January 21st. Northland Securities set a $24.00 price objective on Arteris in a report on Friday. Rosenblatt Securities restated a “buy” rating and set a $20.00 price target on shares of Arteris in a report on Friday. Jefferies Financial Group raised shares of Arteris to a “hold” rating in a report on Tuesday, October 28th. Finally, TD Cowen reissued a “buy” rating on shares of Arteris in a report on Wednesday, November 5th. Three equities research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, Arteris has a consensus rating of “Hold” and an average price target of $20.17.

More Arteris News

Here are the key news stories impacting Arteris this week:

• Positive Sentiment: Q4 2025 results beat expectations — EPS of ($0.05) vs consensus ($0.08) and revenue of $20.14M vs $18.55M, signaling improving top‑line momentum. Read More.
• Positive Sentiment: Company issued above‑consensus revenue guidance: Q1 2026 revenue $20.5M–$21.5M (consensus ~ $18.9M) and FY2026 revenue $89M–$93M (consensus ~ $83.4M) — a near‑term growth target that could underpin multiples if execution follows. Read More.
• Positive Sentiment: Commercial validation: Arteris reports its NoC technology has shipped in over 4 billion chips/chiplets and NXP expanded use of Arteris IP across AI‑enabled SoC/NPU/MCU designs — strengthens TAM exposure in edge AI and automotive. Read More. Read More.
• Positive Sentiment: Analyst support — Rosenblatt reaffirmed a Buy and $20 PT, and several institutions have added shares recently; that research/institutional interest can support upside if growth continues. Read More.
• Neutral Sentiment: Management commentary and full earnings/call transcript available — useful for parsing bookings, contract pipeline and margin trajectory. Read More.
• Neutral Sentiment: Strategic update: company flagged a $100M+ contract‑value target for 2026 and acquisition activity to bolster chip security (Cycuity) — potential long‑term upside but execution dependent. Read More.
• Negative Sentiment: Insider selling: CEO K. Charles Janac and major shareholder Bayview Legacy have sold material blocks in recent days/weeks (e.g., 47,244 shares on Feb 9 + 2,756 on Feb 10) — recurring insider sales can weigh on investor sentiment and add supply. Read More.
• Negative Sentiment: Company remains unprofitable on a GAAP basis and sell‑side median still forecasts negative FY EPS (consensus ~ -0.73), so valuation depends on revenue acceleration and path to profitability. Read More.

About Arteris

Arteris, Inc is a fabless semiconductor intellectual property (IP) company specializing in on-chip interconnect solutions and system IP for advanced integrated circuits. The company’s core products include its FlexNoC network-on-chip (NoC) fabrics, Ncore cache coherent interconnect IP, and CodaCache memory subsystem IP. These technologies enable semiconductor and systems companies to design scalable, energy-efficient chips for applications ranging from automotive and artificial intelligence (AI) to 5G communications and high-performance computing.

Founded in 2003 and headquartered in Santa Clara, California, Arteris serves a global customer base across North America, Europe, and Asia.