Arteris (NASDAQ:AIP) Shares Gap Up – Time to Buy?

Arteris, Inc. (NASDAQ:AIP)’s stock price gapped up prior to trading on Monday . The stock had previously closed at $22.30, but opened at $23.55. Arteris shares last traded at $24.1060, with a volume of 75,319 shares trading hands.

Analysts Set New Price Targets

Several equities analysts recently weighed in on the company. Oppenheimer initiated coverage on Arteris in a research report on Thursday, July 16th. They set an “outperform” rating and a $40.00 price objective for the company. Roth Capital assumed coverage on Arteris in a report on Tuesday, August 4th. They issued a “buy” rating and a $40.00 target price on the stock. Jefferies Financial Group raised Arteris from a “hold” rating to a “buy” rating and lifted their price target for the stock from $35.00 to $50.00 in a research report on Friday, August 7th. Craig Hallum initiated coverage on Arteris in a research report on Monday. They issued a “buy” rating and a $30.00 price target on the stock. Finally, Weiss Ratings raised Arteris from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Friday, August 21st. Six equities research analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $39.43.

Arteris Stock Performance

The company has a debt-to-equity ratio of 0.03, a current ratio of 1.57 and a quick ratio of 1.57. The stock’s 50 day moving average is $26.18 and its two-hundred day moving average is $28.05. The firm has a market cap of $1.22 billion, a P/E ratio of -28.48 and a beta of 1.91.

Arteris (NASDAQ:AIP) last issued its earnings results on Thursday, August 6th. The company reported ($0.10) EPS for the quarter, missing the consensus estimate of ($0.04) by ($0.06). Arteris had a negative net margin of 46.70% and a negative return on equity of 295.96%. The firm had revenue of $24.13 million during the quarter, compared to analyst estimates of $23.48 million. As a group, equities analysts predict that Arteris, Inc. will post -0.68 EPS for the current year.

Insider Buying and Selling at Arteris

In other Arteris news, Director Saiyed Raza sold 70,000 shares of the business’s stock in a transaction on Monday, August 3rd. The stock was sold at an average price of $30.01, for a total value of $2,100,700.00. The transaction was disclosed in a document filed with the SEC, which is available at this link. Also, CEO K Janac sold 192,686 shares of Arteris stock in a transaction dated Thursday, July 2nd. The shares were sold at an average price of $36.32, for a total value of $6,998,355.52. Following the completion of the transaction, the chief executive officer directly owned 8,555,047 shares of the company’s stock, valued at $310,719,307.04. This represents a 2.20% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last quarter, insiders sold 1,177,382 shares of company stock worth $37,652,509. 23.30% of the stock is currently owned by insiders.

Institutional Trading of Arteris

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Needham Investment Management LLC lifted its holdings in Arteris by 2.6% in the fourth quarter. Needham Investment Management LLC now owns 3,411,500 shares of the company’s stock valued at $52,878,000 after buying an additional 86,500 shares during the period. BlackRock Inc. bought a new position in Arteris during the second quarter worth about $160,129,000. Granahan Investment Management LLC grew its position in shares of Arteris by 201.0% in the 1st quarter. Granahan Investment Management LLC now owns 713,077 shares of the company’s stock valued at $11,723,000 after purchasing an additional 476,181 shares during the period. Wellington Management Group LLP increased its stake in Arteris by 0.4% during the 2nd quarter. Wellington Management Group LLP now owns 500,200 shares of the company’s stock worth $24,305,000 after purchasing an additional 1,897 shares in the last quarter. Finally, Algert Global LLC bought a new stake in Arteris during the 2nd quarter worth approximately $11,602,000. 64.36% of the stock is currently owned by institutional investors and hedge funds.

Arteris Company Profile

Arteris, Inc is a semiconductor intellectual property company that provides network-on-chip (NoC) interconnect and system IP for the design of complex systems-on-chip (SoCs). Its technologies help semiconductor and electronics companies connect processor cores, memory, peripherals and other functional blocks within a chip while supporting data movement, system integration and design reuse.

The company’s product portfolio includes FlexNoC interconnect IP, Ncore cache-coherent interconnect IP and CodaCache system IP.