Arteris (NASDAQ:AIP) Downgraded to "Sell" Rating by Wall Street Zen

Key Points

• Arteris (NASDAQ: AIP) has been downgraded from "hold" to "sell" by Wall Street Zen, indicating a more pessimistic outlook for the stock.
• Despite the downgrade, several analysts, including TD Cowen and Rosenblatt Securities, maintain a "buy" rating for Arteris, with target prices ranging from $14.00 to $15.00.
• Recent insider trading indicates significant selling activity, with major shareholder Bayview Legacy selling 50,000 shares, valued at approximately $656,000.

Arteris (NASDAQ:AIP - Get Free Report) was downgraded by Wall Street Zen from a "hold" rating to a "sell" rating in a report released on Sunday.

AIP has been the subject of several other research reports. TD Cowen increased their target price on shares of Arteris from $12.00 to $15.00 and gave the stock a "buy" rating in a report on Wednesday, August 6th. Rosenblatt Securities restated a "buy" rating and set a $14.00 target price on shares of Arteris in a report on Wednesday, May 21st. Three investment analysts have rated the stock with a Buy rating, According to data from MarketBeat.com, Arteris has a consensus rating of "Buy" and a consensus target price of $15.00.

Arteris Trading Up 0.2%

Shares of AIP opened at $8.86 on Friday. Arteris has a 12 month low of $5.46 and a 12 month high of $14.29. The firm has a fifty day simple moving average of $9.52 and a 200 day simple moving average of $8.23. The stock has a market capitalization of $377.88 million, a price-to-earnings ratio of -10.80 and a beta of 1.44.

Arteris (NASDAQ:AIP - Get Free Report) last announced its earnings results on Tuesday, August 5th. The company reported ($0.11) EPS for the quarter, hitting the consensus estimate of ($0.11). Arteris had a negative net margin of 52.41% and a negative return on equity of 8,546.17%. The business had revenue of $16.50 million during the quarter, compared to analysts' expectations of $16.35 million. Arteris has set its FY 2025 guidance at EPS. Q3 2025 guidance at EPS. As a group, research analysts predict that Arteris will post -0.73 earnings per share for the current fiscal year.

Insider Activity

In other Arteris news, major shareholder Bayview Legacy, Llc sold 50,000 shares of the company's stock in a transaction on Tuesday, August 5th. The shares were sold at an average price of $13.12, for a total transaction of $656,000.00. Following the sale, the insider directly owned 9,839,071 shares of the company's stock, valued at approximately $129,088,611.52. This represents a 0.51% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, CFO Nicholas B. Hawkins sold 11,276 shares of the company's stock in a transaction on Tuesday, August 5th. The stock was sold at an average price of $13.15, for a total transaction of $148,279.40. Following the sale, the chief financial officer directly owned 107,996 shares in the company, valued at $1,420,147.40. This trade represents a 9.45% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 492,989 shares of company stock valued at $5,823,031. 29.10% of the stock is owned by corporate insiders.

Institutional Trading of Arteris

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Squarepoint Ops LLC raised its position in shares of Arteris by 143.8% in the second quarter. Squarepoint Ops LLC now owns 120,957 shares of the company's stock valued at $1,153,000 after purchasing an additional 71,340 shares during the period. Marex Group plc bought a new position in shares of Arteris in the second quarter valued at about $395,000. State of Wyoming bought a new position in shares of Arteris in the second quarter valued at about $455,000. Bank of America Corp DE raised its position in shares of Arteris by 11.8% in the second quarter. Bank of America Corp DE now owns 57,093 shares of the company's stock valued at $544,000 after purchasing an additional 6,008 shares during the period. Finally, Ameriprise Financial Inc. bought a new position in shares of Arteris in the second quarter valued at about $742,000. 64.36% of the stock is owned by institutional investors.

About Arteris

Arteris, Inc provides semiconductor interconnect intellectual property (IP) and System-on-Chip (Soc) Integration Automation software solutions (SIA) in the Americas, the Asia Pacific, Europe, and the Middle East. The company develops, licenses, and supports the on-chip interconnect fabric technology used in Soc designs and Network-on-Chip (NoC) interconnect IP.

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