Arteris

AIP · NASDAQ

$19.76+$0.68 (+3.56%)TodayMarket closed · Oct 20, 7:54 PM ET

Prev close $19.08

AIP analyst rating

BuyConsensus of 5 analysts over the last 12 months. 100% rate it a buy.

Strong buy0
Buy5
Hold0
Underperform0
Sell0

12-month price target · 8 analysts

Average $40.22 (+103.5% upside)

Low: $30.30
Now: $19.76
High: $52.50

Upgrades and downgrades

The latest rating actions, newest first

AIP analyst upgrades, downgrades and rating actions
Firm	Date	Action	Rating	Price target	Hit rate
TD Cowen	Oct 19, 2026	Maintains	Buy	$40.00 → $25.00	39%
Craig-Hallum	Sep 21, 2026	Initiates	Buy	$30.00	43%
Jefferies	Aug 7, 2026	Upgrade	Hold → Buy	$35.00 → $50.00	53%
Rosenblatt	Aug 7, 2026	Maintains	Buy	$38.00	53%
Roth Capital	Aug 4, 2026	Initiates	Buy	$40.00	47%
Jefferies	May 13, 2026	Maintains	Hold	$16.00 → $35.00	53%
TD Cowen	May 13, 2026	Maintains	Buy	$22.00 → $40.00	39%
Rosenblatt	May 13, 2026	Maintains	Buy	$20.00 → $38.00	53%
Rosenblatt	Feb 13, 2026	Maintains	Buy	$20.00	53%
Rosenblatt	Dec 15, 2025	Maintains	Buy	$20.00	53%

The case for and against

Updated Oct 14, 2026

Bull case

Arteris is well positioned because its System IP is becoming more critical as SoCs grow more complex, and that is translating into record commercial momentum, with ACV plus royalties at $99.5M, RPO up 36% Y/Y to $135M, and confirmed design starts up 21% Y/Y. Its outlook is strengthened by a mix shift toward AI and datacenter wins, where roughly two-thirds of customer engagements are tied to AI chips and hyperscaler, memory, and chiplet programs can convert faster than automotive into royalties, supporting earlier monetization. The business also shows improving financial leverage, with FY26 revenue guidance raised to $95M-$98M, ACV plus trailing 12-month royalties maintained at $102M-$106M, and management targeting non-GAAP operating profitability as early as 4Q26 while already being FCF positive on an annual basis.

Bear case

Arteris is facing a fragile fundamental setup because, despite solid June-quarter revenue of $24.1M and 87% gross margin, it still posted a non-GAAP operating loss of $4.6M and missed EPS expectations at ($0.10), underscoring that growth is not yet translating into durable profitability. The business remains highly exposed to cyclical semiconductor spending, end-market weakness in automotive, AI/ML, 5G, cloud, data center and consumer electronics, and the possibility that customers or larger rivals shift to internal IP, all of which could pressure license and royalty revenue. Its heavy APAC concentration adds geopolitical and China-related customer risk, while higher operating costs such as RSU-related payroll taxes and sales commissions suggest that scaling may continue to require elevated spending before earnings can stabilize.

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