Lattice Semiconductor Tops Sales Target, Matches Earnings Goal

Chipmaker Lattice Semiconductor (LSCC) late Tuesday beat Wall Street’s target for sales in the fourth quarter and matched views on earnings. Lattice stock jumped in extended trading.

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The Portland, Ore.-based company earned an adjusted 8 cents a share on sales of $ 96 million in the December quarter. Analysts expected Lattice earnings of 8 cents a share on sales of $ 95.1 million. In the year-earlier period, Lattice earned 1 cent a share on sales of $ 95.3 million.

Lattice stock surged 8% higher to 8.80 in after-hours trading on the stock market today. During the regular session, it rose 2.9% to 8.18.

Lattice stock broke out of a cup-with-handle base at a buy point of 7.83 on Jan. 25. It has remained in the buy zone since then.

Focus On Programmable Logic Chips

For the current quarter, Lattice expects revenue of $ 94 million to $ 98 million, topping forecasts. It did not give a target for earnings per share.

Wall Street was modeling Lattice earnings of 7 cents a share on sales of $ 93.7 million in the March quarter. In the year-earlier period, Lattice earned 5 cents a share on sales of $ 98.6 million.

“Despite uncertainty in the current macroeconomic climate, we are positioned to benefit over the long term from multiple catalysts in our business, including growth in computing, industrial and automotive, and the global 5G buildout,” Chief Executive Jim Anderson said in a news release. “We are excited about 2019 as we unlock additional value for the company and its shareholders.”

In 2018, Lattice completed a strategic repositioning that focused the company on its profitable programmable logic chip business. It also improved efficiencies across its global operations last year.

Monolithic Power Systems Matches Views

Elsewhere in the chip sector, Monolithic Power Systems (MPWR) late Tuesday delivered in-line fourth-quarter results.

The Kirkland, Wash.-based company earned 99 cents a share on sales of $ 153.5 million in the December quarter, matching Wall Street’s targets. In the year-earlier period, it earned 82 cents a share on sales of $ 129.4 million.

For the current quarter, MPS expects revenue of $ 138 million to $ 144 million, missing views. It did not give a target for earnings per share.

Wall Street was modeling MPS earnings of 91 cents a share on sales of $ 147.5 million. In the year-earlier period, it earned 79 cents on sales of $ 129.2 million.

“Despite uncertainty in the macro economy, we expect to continue winning market share in cloud computing, automotive and telecommunication markets,” Chief Executive Michael Hsing said in a news release. “We believe our future is bright.”

The company also announced an increase of its quarterly cash dividend to 40 cents a share from 30 cents.

MPS stock sank 1.5% in late trading Tuesday. During the regular session, it rose 1% to 132.

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