Lantronix Secures $40 Million Production Contract and Predicts Revenue of $135-$145 Million in 2023

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LANTRONIX ($NASDAQ:LTRX) is a leading provider of secure data access, management, and control solutions for edge IT devices. Its award-winning products enable organizations to easily and securely manage their remote assets and edge infrastructures. On Wednesday, Lantronix announced that it had received and fulfilled a production contract of $40 million to deliver quantum edge units to its customer Gridspertise. This production contract is the largest in the company’s history and is expected to provide a significant boost to its revenues. This contract also highlights the company’s capabilities in the quantum computing space, which is becoming increasingly important in the technology industry. The company is predicting revenue for the second quarter of 2021 to be between $31 million and $32 million, and estimates annual revenue to reach $135 million to $145 million in 2023, representing a year-over-year increase of 4% to 12%.

Analysts’ consensus prediction for the quarterly revenue is $35 million. These projections indicate that the company is on track to achieve its long-term growth objectives. This new contract and revenue projections have been welcomed by investors. With its strong presence in the quantum computing space and its innovative solutions, Lantronix is well-positioned to capitalize on the growth opportunities in this sector.

Share Price

On Wednesday, LANTRONIX announced that it had secured a $40 million production contract, sending its stock prices up. The company opened at $4.2 and closed at $4.4, up by 3.5% from the previous closing price of $4.2. The contract is expected to generate up to $145 million in revenue by 2023. The contract will enable LANTRONIX to increase its production capabilities and significantly boost its profits. The company has stated that this new contract is part of its plan to expand its operations globally and become a leader in the industry. The increased production will also allow LANTRONIX to make further technological advancements and create new products to meet the needs of its customers. This will enable the company to further enhance its competitive advantage and increase its market share.

Additionally, the contract will help LANTRONIX to strengthen its financials and continue to invest in research and development. The news of the contract has been well-received by investors and analysts alike as it demonstrates LANTRONIX’s commitment to growth and its ability to secure large contracts. It also proves that the company is well-positioned to capitalize on future opportunities and expand its operations on an international scale. This contract is a major milestone for LANTRONIX and is expected to significantly contribute to the company’s long-term success. Live Quote…

About the Company

Income Snapshot

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Cash Flow Snapshot

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Balance Sheet Snapshot

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Key Ratios Snapshot

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VI Analysis

This can be seen from the VI Star Chart, which gives it an intermediate health score of 5/10 with regard to its cashflows and debt, indicating that it is likely to sustain future operations in times of crisis. The company is strong in terms of assets, growth and profitability but weak in terms of dividends. It is classified as a ‘cheetah’ type of company, which is one that has achieved high revenue or earnings growth but is considered to be less stable due to lower profitability. As such, investors who are looking for the potential of high returns with the associated risk of lower stability may be interested in LANTRONIX. This type of investor must assess the risk-reward ratio before investing and must be prepared to accept a higher level of risk in order to potentially achieve greater returns. This could include venture capital investors, angel investors, or private equity firms. Additionally, more conservative investors may also invest in LANTRONIX if they believe that the company can perform well in times of crisis and achieve a good balance between risk and reward. More…

VI Peers

Lantronix‘s solutions enable its customers to remotely and securely connect to, manage, and control virtually any electronic device. Lantronix’s competitors include Identiv Inc, Eutelsat Communications, and ZTE Corp.

– Identiv Inc ($NASDAQ:INVE)

Identiv, Inc. is a global provider of physical security and safe identity solutions. The company offers a wide range of products and services that enable the secure movement of people, assets, and data. Identiv’s solutions are used in a variety of applications, including identity verification, access control, video surveillance, and asset tracking.

Identiv’s market cap is $278.32 million as of 2022. The company’s return on equity is -0.4%.

Identiv provides physical security and safe identity solutions that are used in a variety of applications, including identity verification, access control, video surveillance, and asset tracking. The company’s products and services enable the secure movement of people, assets, and data.

– Eutelsat Communications ($OTCPK:ETCMY)

Eutelsat Communications is a leading satellite operator. The company has a market cap of 2.15B as of 2022 and a Return on Equity of 9.77%. Eutelsat Communications provides satellite communications services to broadcasters, content and internet service providers, mobile and fixed network operators, governments and institutions. The company operates a fleet of over 40 satellites and has a global footprint spanning over 180 countries.

– ZTE Corp ($SZSE:000063)

ZTE Corporation is a Chinese multinational telecommunications equipment and systems company headquartered in Shenzhen, Guangdong, China. The company produces mobile phones and telecommunications equipment for customers in over 160 countries. ZTE operates in three business units: carrier networks, terminals, and telecommunication. Carrier networks business unit provides products and services for telecom carriers, including wireless, exchange, access, optical transport, data communications, and software products. Terminals business unit provides mobile phones, mobile broadband devices, home appliances, and vehicle-mounted devices. Telecommunication business unit provides fixed-line broadband, IPTV, and data communications products and services for enterprises and consumers.

As of 2022, ZTE Corporation has a market capitalization of 94.61 billion US dollars. The company’s return on equity (ROE) is 11.4%. ZTE Corporation is a leading telecommunications equipment and systems company with a strong international presence. The company’s products and services are used by customers in over 160 countries. ZTE operates in three main business units: carrier networks, terminals, and telecommunication. ZTE has a strong focus on research and development, and has been awarded over 25,000 patents worldwide.

Summary

Lantronix Inc. recently secured a $40 million production contract and is predicting total revenue of $135-$145 million for the 2023 fiscal year. This news was met with increased investor confidence, as the stock price rose significantly the same day. Investors are encouraged to consider Lantronix due to its strong financial performance, successful customer base, and impressive total revenue forecast. The company’s ability to secure such a large production contract indicates a positive outlook for the future and should be taken into account when making investment decisions.