AIP Stock Analysis: Arteris | NASDAQ
Semiconductors | NASDAQ, USA | Market Cap: 1.103m USD | 12M Return: 33.1% | US04302A1043 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 15.1M
Qual. Beats: -2
Rev. Trend: 95.2%
Qual. Beats: 4
Warnings
Tailwinds
No distinct edge detected
Seasonality 4.9 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Arteris, Inc. (NASDAQ: AIP) is a U.S.-based semiconductor intellectual property (IP) company that designs and licenses connectivity and integration solutions used inside System-on-Chip (SoC) semiconductors. The companys core offering is its Network-on-Chip (NoC) IP portfolio, which includes the FlexGen, FlexNoC, and FlexWay products, along with the Ncore cache-coherent interconnect and CodaCache last-level cache IP.
Beyond interconnect IP, Arteris sells hardware security verification software under the Cycuity Radix brand and SoC integration automation tools (Magillem Connectivity and Registers, and CSRCompiler). The company also generates revenue from professional services, training, consulting, and IP support. Its customer base spans the automotive, communications, enterprise computing, consumer electronics, and industrial end markets, with operations across North America, Asia Pacific, Europe, and the Middle East.
Arteris operates a fabless, IP-licensing business model, meaning it does not manufacture chips itself but rather licenses reusable design blocks and software to semiconductor companies and system designers. This asset-light approach is common in the semiconductor IP subsector and is dominated by a small number of players, including the U.K.-based firm Arm Holdings. Founded in 2003 and headquartered in Campbell, California, Arteris went public on the Nasdaq in late October 2021.
- Automotive SoC design wins drive NoC IP royalty growth
- China revenue exposure amid semiconductor export restrictions
- Competition from internal NoC designs pressures licensing margins
| Net Income: -39.5m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.03 > 0.02 and ΔFCF/TA 4.65 > 1.0 |
| NWC/Revenue: 62.63% < 20% (prev -1.61%; Δ 64.24% < -1%) |
| CFO/TA 0.04 > 3% & CFO 8.51m > Net Income -39.5m |
| Net Debt/EBITDA: error (EBITDA <= 0) |
| Current Ratio: 1.57 > 1.5 & < 3 |
| Outstanding Shares: last quarter (47.3m) vs 12m ago 13.05% < -2% |
| Gross Margin: 86.85% > 18% (prev 90.03%; Δ -3.18% > 0.5%) |
| Asset Turnover: 51.04% > 50% (prev 59.17%; Δ -8.13% > 0%) |
| Interest Coverage Ratio: -245.5 > 6 (EBIT TTM -42.0m / Interest Expense TTM 171k) |
| A: 0.24 (Total Current Assets 146.3m - Total Current Liabilities 93.3m) / Total Assets 224.7m |
| B: -0.86 (Retained Earnings -193.7m / Total Assets 224.7m) |
| C: -0.25 (EBIT TTM -42.0m / Avg Total Assets 165.8m) |
| D: 0.43 (Book Value of Equity 67.7m / Total Liabilities 157.0m) |
| Altman-Z'' = -2.51 = D |
| DSRI: 0.61 (Receivables 15.2m/18.8m, Revenue 84.6m/63.2m) |
| GMI: 1.04 (GM 90.03% / 86.85%) |
| AQI: 0.88 (AQ_t 0.30 / AQ_t-1 0.34) |
| SGI: 1.34 (Revenue 84.6m / 63.2m) |
| TATA: -0.21 (NI -39.5m - CFO 8.51m) / TA 224.7m) |
| Beneish M = -3.17 (Cap -4..+1) = AA |
As of October 18, 2026, the stock is trading at USD 18.76 with a total of 689,968 shares traded. Over the past week, the price has changed by -16.40%, over one month by -10.11%, over three months by -39.54% and over the past year by +33.05%.
Current recommended Stop Loss: 17.20 (which is 8.3% or 1.2 ATR below the current price).
Arteris has received a consensus analysts rating of 5.00. Therefore, it is recommended to buy AIP.
- StrongBuy: 7
- Buy: 0
- Hold: 0
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 39.4 | 110.2% |
P/E Forward = 172.4138
P/S = 13.0352
P/B = 17.5585
Revenue TTM = 84.6m USD
EBIT TTM = -42.0m USD
EBITDA TTM = -37.4m USD
Long Term Debt = 2.19m USD (from longTermDebt, last quarter)
Short Term Debt = 2.77m USD (from shortTermDebt, last quarter)
Debt = 13.9m USD (from shortLongTermDebtTotal, last quarter) + Leases 5.19m
Net Debt = -108.2m USD (calculated: Debt 13.9m - CCE 122.1m)
Enterprise Value = 994.8m USD (1.10b + Debt 13.9m - CCE 122.1m)
Interest Coverage Ratio = -245.5 (Ebit TTM -42.0m / Interest Expense TTM 171k)
EV/FCF = 147.0x (Enterprise Value 994.8m / FCF TTM 6.77m)
FCF Yield = 0.68% (FCF TTM 6.77m / Enterprise Value 994.8m)
FCF Margin = 8.00% (FCF TTM 6.77m / Revenue TTM 84.6m)
Net Margin = -46.70% (Net Income TTM -39.5m / Revenue TTM 84.6m)
Gross Margin = 86.85% ((Revenue TTM 84.6m - Cost of Revenue TTM 11.1m) / Revenue TTM)
Gross Margin QoQ = 85.05% (prev 83.01%)
Tobins Q-Ratio = 4.43 (Enterprise Value 994.8m / Total Assets 224.7m)
Interest Expense / Debt = 1.23% (Interest Expense 171k / Debt 13.9m)
Taxrate = 21.0% (US federal default 21%)
NOPAT = -33.2m (EBIT -42.0m * (1 - 21.00%)) [loss with tax shield]
Current Ratio = 1.57 (Total Current Assets 146.3m / Total Current Liabilities 93.3m)
Debt / Equity = 0.21 (Debt 13.9m / totalStockholderEquity, last quarter 67.7m)
Debt / EBITDA = 2.89 (negative EBITDA) (Net Debt -108.2m / EBITDA -37.4m)
Debt / FCF = -15.99 (Net Debt -108.2m / FCF TTM 6.77m)
Total Stockholder Equity = 11.0m (last 4 quarters mean from totalStockholderEquity)
RoA = -23.84% (Net Income -39.5m / Total Assets 224.7m)
RoE = -357.8% (Net Income TTM -39.5m / Total Stockholder Equity 11.0m)
RoCE = -317.2% (out of range, set to none) (EBIT -42.0m / Capital Employed (Equity 11.0m + L.T.Debt 2.19m))
RoIC = -25.53% (negative operating profit) (NOPAT -33.2m / Invested Capital 129.9m)
WACC = 16.48% (E(1.10b)/V(1.12b) * Re(16.68%) + D(13.9m)/V(1.12b) * Rd(1.23%) * (1-Tc(0.21)))
Discount Rate = 16.68% (= CAPM, Blume Beta Adj.) -> capped to 13.17%
Shares (quarterly) Correlation: 98.66 | Cagr: 10.57%
[DCF] Terminal Value 52.28% ; FCFF base≈6.77m ; Y1≈6.79m ; Y5≈7.20m
[DCF] Fair Price = 3.16 (EV 47.0m - Net Debt -108.2m = Equity 155.2m / Shares 49.2m; r=16.48% [WACC]; 5y FCF grow 0.0% → 2.50% )
EPS Correlation: N/A | EPS CAGR: N/A | SUE: -1.64 | # QB: -2
Revenue Correlation: 95.22 | Revenue CAGR: 18.32% | SUE: 0.95 | # QB: 4
EPS current Quarter (2026-09-30): EPS=-0.04 | Chg30d=+0.00% | Revisions=-25% | Analysts=7
EPS current Year (2026-12-31): EPS=-0.18 | Chg30d=-0.40% | Revisions=-57% | GrowthEPS=+46.8% | GrowthRev=+37.0%
EPS next Year (2027-12-31): EPS=0.12 | Chg30d=+0.81% | Revisions=+0% | GrowthEPS=+170.7% | GrowthRev=+20.9%
[Analyst] Revisions Ratio: -50% (up=1, down=6)