Lantronix price target lowered to $6 from $7 at Craig-Hallum

Craig-Hallum analyst Christian Schwab lowered the firm’s price target on Lantronix to $6 from $7 and keeps a Buy rating on the shares. The firm notes Lantronix reported Q3 results and guided Q4 largely in line with prior expectations. The company is seeing its initial large $40M order from smart grid customer, Gridpertise, ramp through the remainder of this FY with $20M of the order expected to be realized in Q4, says Craig-Hallum. While the firm is encouraged to see the company receive its first production follow-on order from Gridpertise, run rate business with the customer is expected to be down heading into FY25 given an expected partial digestion of the strong initial order shipped this FY.