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Verdict
Quantitative factor alignment verified for current market regime.
Quant Score
Rank
#1232
Positioning
Market Dominance
Manufacturing
Computer Hardware
$179M
Paul H. Pickle
Lantronix, Inc. provides software as a service (SaaS) and engineering services, and hardware for edge computing, the Internet of Things (IoT) in the Americas, Europe, the Middle East, Africa, and Asia Pacific Japan. The company's REM products include out-of-band management, console management, power management, and IP connected keyboard-video-mouse products.
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Get full access to institutional-quality research tools with Blank Capital Pro.
Upgrade to ProStarting at $19.99/mo
Get full access to institutional-quality research tools with Blank Capital Pro.
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| Stock | Rating | Score▼ | Quality | Value | Momentum | P/E | EV/EBITDA | ROE | ROA | Gross Mgn | Op Mgn | Net Mgn | Rev Growth | Div Yield | D/E | Mkt Cap | AUDIT |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
$UL UNILEVER PLC | 78 | 96 | 98 | 59 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$ASML ASML HOLDING NV | 77 | 89 | 86 | 83 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$ESLT ELBIT SYSTEMS LTD | 76 | 81 | 87 | 85 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$MT ArcelorMittal | 75 | 71 | 98 | 85 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$AMAT APPLIED MATERIALS INC /DE | 75 | 85 | 87 | 84 | 20.9x | 13.6x | 32.9% | 20.5% | 48.8% | 30.6% | 24.4% | 7.7% | 0.9% | 32.0x | $148.6B | VS | |
$SIMO Silicon Motion Technology CORP | 75 | 84 | 86 | 85 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$CODA Coda Octopus Group, Inc. | 74 | 83 | 90 | 79 | 16.3x | 11.9x | 7.4% | 7.5% | 68.3% | 19.5% | 18.2% | 29.0% | 0.0% | 0.0x | $84M | VS | |
$GSK GSK plc | 74 | 84 | 90 | 70 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$EFXT Enerflex Ltd. | 74 | 80 | 91 | 83 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$BUD Anheuser-Busch InBev SA/NV | 74 | 84 | 97 | 63 | - | - | - | - | - | - | - | - | - | - | $0 | VS | |
$LTRX LANTRONIX INC | 55 | 58 | 55 | 81 | - | - | -12.0% | -7.4% | 43.6% | -7.1% | -7.6% | -13.5% | 0.0% | 64.0x | $179M | ||
| SECTOR BENCH | - | - | - | - | - | 22.3x | 11.5x | -1.9% | 0.9% | 44.1% | 2.5% | 1.0% | 6.7% | 0.0% | 0.2x | - | REF |
LANTRONIX INC (LTRX) receives a "Hold" rating with a composite score of 55.3/100. It ranks #1232 out of 7,333 stocks in our coverage universe and carries a 3-star rating. Ratings are driven by a 6-factor quantitative model measuring quality, value, momentum, investment, stability, and short interest.
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Outperforming peers — winners tend to keep winning over 3-12 months
Fair valuation relative to peers
Average quality profile
Average volatility — neutral timing signal
Aggressive spending — empire-building risk, dilutive growth
Mid-range overall rating
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Relative valuation derived from Manufacturing sector benchmarks. Model weights: EV/EBITDA (40%), P/B (35%), P/S (25%). Re-calculated daily.
No analyst ratings for LTRX.
View All RatingsROE proxy -12.0% (sector -1.9%)
GM 44% vs sector 44%, OM -7% vs sector 3%
Capital turnover N/A, R&D intensity 15.5%
Rev growth -14%, 11yr history
Interest coverage N/A
Composite assessment of profitability, capital efficiency, and financial strength. Top-tier entities demonstrate sustainable cash flow generation and elite competitive moats.
Profit generated per dollar of shareholder equity
Efficiency of asset utilization
Pricing power and cost efficiency
Core business profitability
Bottom-line profitability
The Quality factor evaluates the persistence and magnitude of realized cash flows. Companies with scores >70 exhibit superior pricing power and structural financial resilience through diverse economic regimes.
Our uncertainty rating tracks the predictability of future cash flows and potential for permanent capital loss. Moderate visibility with standard industry cyclicality.
We rate LANTRONIX INC (LTRX) as a Hold with a composite score of 55.3/100 at a current price of $5.99. The stock presents a mixed quantitative picture — neither compelling enough to warrant new accumulation nor weak enough to justify selling.
LANTRONIX INC holds a top-quartile position (#0 of 50) within the Manufacturing sector, based on our composite quantitative scoring across quality, value, momentum, and stability factors. The composite score of 55.3/100 places it at rank #1232 in our full universe.
The near-term outlook is constructive, with revenue growing at -14% and momentum in the 81th percentile confirming positive market sentiment. The combination of strong top-line growth and favorable price dynamics suggests the company is executing well on its growth strategy.
No Moat
High
Poor
Fair Value
Gross margins of 44% signal strong pricing power.
Positive momentum indicates institutional accumulation.
Stable competitive position in a defensive sector.
Vulnerability to macroeconomic shocks and interest rate volatility.
LANTRONIX INC represents a hold based on multi-factor quantitative performance.
Our model assigns LANTRONIX INC a Hold rating, with a composite score of 55.3/100 and 3 out of 5 stars. Ranked #1232 of 7,333 stocks, LTRX presents a mixed quantitative picture — neither compelling enough to initiate new positions nor weak enough to warrant selling. Investors already holding may consider maintaining their position while monitoring for changes in the factor profile.
With a quality score of 58/100, LTRX shows adequate but unremarkable business quality. The company reports a return on equity of -12.0% (sector avg: -1.9%), gross margins of 43.6% (sector avg: 44.1%), net margins of -7.6% (sector avg: 1.0%). This suggests the company generates acceptable returns but may lack the competitive positioning or operational efficiency to stand out from peers.
LTRX's value score of 55/100 indicates the stock is fairly valued based on its current fundamentals. Key valuation metrics include a P/B ratio of 3.19x. At this level, neither a clear bargain nor overpriced, the stock's attractiveness depends more on forward growth expectations and qualitative factors.
LANTRONIX INC's investment score of 34/100 suggests limited reinvestment activity. Key growth metrics include revenue growth of -13.5% vs. a sector average of 6.7% and a return on assets of -7.4% (sector: 0.9%). While this can be positive for mature, cash-generative businesses returning capital to shareholders, it may also signal a lack of growth opportunities or management conservatism.
LTRX shows strong momentum characteristics with a score of 81/100. The stock has been trending above key moving averages, indicating solid demand from institutional buyers. Revenue growth stands at -13.5% year-over-year, while a beta of 1.44 reflects its sensitivity to broader market moves. This level of momentum typically signals sustained investor confidence and favorable near-term price action.
LTRX's stability score of 41/100 signals elevated volatility and/or leverage concerns. Key stability metrics include a beta of 1.44 and a debt-to-equity ratio of 64.00x (sector avg: 0.2x). Investors should be prepared for wider-than-average price swings and consider position sizing accordingly to manage portfolio risk.
The short interest score of 59/100 for LTRX suggests somewhat elevated bearish positioning by institutional traders. Specific risk factors include above-average market sensitivity (beta: 1.44), elevated leverage (D/E: 64.00x), micro-cap liquidity risk. With a $179M market cap (micro-cap), LANTRONIX INC may experience above-average volatility. Investors should consider whether the short thesis has merit or if it creates a potential short-squeeze opportunity.
LANTRONIX INC is a micro-cap company in the Manufacturing sector, ranked #0 of 50 in its sector (100th percentile) and #1232 of 7,333 overall (83rd percentile). Key comparisons include ROE of -12.0% trailing the -1.9% sector median and operating margins of -7.1% below the 2.5% sector average. This top-quartile standing reflects exceptional competitive strength relative to Manufacturing peers.
While LTRX currently exhibits a HOLD profile, superior opportunities exist within the MANUFACTURING sector. Our model identifies several "Strong Buy" candidates with higher quality scores and more attractive valuations among direct industry competitors.
View Top Manufacturing Alpha →Quant Factor Profile
Key factor gap
Momentum (81) vs Investment (34) — closing this gap could shift the rating.
ROE 534% ABOVE SECTOR MEDIAN (FAVORABLE)
Gross Margin IN LINE WITH SECTOR BENCHMARKS
Op. Margin 381% BELOW SECTOR MEDIAN
Above 50MA
37.18%
Net New Highs
+51081
Lantronix Demos Out-of-Band Management Solutions Designed to Reduce Downtime and Provide Faster Incident Response and Quicker RecoveryIRVINE, Calif., Feb. 09, 2026 (GLOBE NEWSWIRE) -- Lantronix Inc. (Nasdaq: LTRX), a global leader in compute and connectivity IoT solutions powering Edge AI applications, announced it will exhibit at Cisco Live 2026 Amsterdam, Booth A8, taking place Feb. 9–13, 2026, at RAI Amsterdam. Lantronix, a Cisco Select Developer Partner, will feature demonstrations of its Ou
Lantronix Inc. (NASDAQ:LTRX) is one of the hidden AI stocks under $10 to buy. On January 27, Lantronix and Safe Pro Group entered into a partnership, established through a Memorandum of Understanding and a Master Services Agreement, to develop AI-driven edge intelligence for defense and autonomous systems. The collaboration focuses on integrating Safe Pro’s Object […]
Operator: Good day and welcome to the Lantronix, Inc. 2026 Second Quarter Results Conference Call. All participants will be in a listen-only mode.
Lantronix (LTRX) has just posted Q2 2026 results with revenue of about US$29.8 million and a basic EPS loss of roughly US$0.03, alongside trailing twelve month figures showing US$116.9 million in revenue and a basic EPS loss of about US$0.24. Over recent quarters the company has seen revenue move between US$28.5 million and US$34.4 million, while quarterly basic EPS has ranged from a loss of roughly US$0.10 to a loss of about US$0.03. This keeps the focus firmly on how efficiently each dollar...