📊 AIP Key Takeaways
Is Arteris, Inc. (AIP) a Good Investment?
Arteris demonstrates strong revenue growth (+22.3% YoY) and exceptional gross margins (90.2%), indicating healthy core product demand. However, the company faces severe operational challenges with negative stockholders' equity of -14.6M, massive operating losses (-47% margin), and liabilities exceeding assets, creating significant solvency concerns despite positive free cash flow generation.
Arteris is showing credible top-line momentum and exceptional gross margins, with the added benefit of positive operating cash flow and free cash flow. However, the business remains deeply unprofitable at the operating and net levels, and negative stockholders' equity materially weakens the balance sheet. The fundamentals suggest a company with attractive product economics but insufficient earnings quality and financial resilience today.
Why Buy Arteris, Inc. Stock? AIP Key Strengths
- Strong revenue growth at 22.3% YoY indicates market demand for semiconductor IP solutions
- Exceptional gross margin of 90.2% reflects pricing power and efficient product delivery
- Positive free cash flow of 5.3M demonstrates ability to generate cash despite operating losses
- Adequate cash position of 33.9M provides runway for operations and R&D investments
- Revenue grew 22.3% YoY, indicating solid demand and commercial traction
- Gross margin of 90.2% reflects strong software/IP economics and pricing power
- Operating cash flow and free cash flow are positive, reducing near-term cash burn pressure
AIP Stock Risks: Arteris, Inc. Investment Risks
- Negative stockholders' equity of -14.6M indicates technical insolvency and potential equity dilution ahead
- Operating margin of -47% and net losses of 34.7M suggest business model not yet profitable at scale
- Liabilities (129.7M) exceed total assets (115.0M) by 14.7M, creating structural financial distress
- Operating cash flow of only 6.7M barely covers CapEx, leaving minimal buffer for growth investments or debt servicing
- High insider trading activity (27 Form 4 filings in 90 days) may indicate confidence concerns or liquidity needs
- Operating margin of -47.0% and net margin of -49.2% show the business model is not yet sustainably profitable
- Negative stockholders' equity and liabilities exceeding assets signal balance-sheet weakness
- Cash of $33.90M with only modest liquidity cushion (current ratio 1.13x) limits flexibility if growth slows or costs rise
Key Metrics to Watch
- Path to operating profitability and timeline to positive EBITDA
- Trend in operating expenses relative to revenue growth
- Sustainability of gross margins as customer mix evolves
- Cash burn rate and runway given current burn and cash position
- Resolution of negative equity through profitability or capital restructuring
- Operating margin improvement relative to revenue growth
- Cash balance and free cash flow sustainability
Arteris, Inc. (AIP) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Arteris, Inc. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
AIP Profit Margin, ROE & Profitability Analysis
AIP vs Technology Sector: How Arteris, Inc. Compares
How Arteris, Inc. compares to Technology sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Arteris, Inc. Stock Overvalued? AIP Valuation Analysis 2026
Based on fundamental analysis, Arteris, Inc. has mixed fundamental signals relative to the Technology sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Arteris, Inc. Balance Sheet: AIP Debt, Cash & Liquidity
AIP Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Arteris, Inc.'s revenue has grown significantly by 86% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.86 indicates the company is currently unprofitable.
AIP Revenue Growth, EPS Growth & YoY Performance
AIP Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $14.7M | -$7.7M | $-0.20 |
| Q2 2025 | $14.6M | -$8.3M | $-0.22 |
| Q1 2025 | $12.9M | -$8.1M | $-0.20 |
| Q3 2024 | $13.3M | -$7.7M | $-0.20 |
| Q2 2024 | $14.6M | -$8.3M | $-0.22 |
| Q1 2024 | $12.9M | -$9.0M | $-0.25 |
| Q3 2023 | $12.6M | -$7.7M | $-0.23 |
| Q2 2023 | $14.7M | -$5.7M | $-0.18 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Arteris, Inc. Dividends, Buybacks & Capital Allocation
AIP SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Arteris, Inc. (CIK: 0001667011)
📋 Recent SEC Filings
❓ Frequently Asked Questions about AIP
What is the AI rating for AIP?
Arteris, Inc. (AIP) has a Combined AI Rating of SELL from Claude (SELL) and ChatGPT (SELL) with 82% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are AIP's key strengths?
Claude: Strong revenue growth at 22.3% YoY indicates market demand for semiconductor IP solutions. Exceptional gross margin of 90.2% reflects pricing power and efficient product delivery. ChatGPT: Revenue grew 22.3% YoY, indicating solid demand and commercial traction. Gross margin of 90.2% reflects strong software/IP economics and pricing power.
What are the risks of investing in AIP?
Claude: Negative stockholders' equity of -14.6M indicates technical insolvency and potential equity dilution ahead. Operating margin of -47% and net losses of 34.7M suggest business model not yet profitable at scale. ChatGPT: Operating margin of -47.0% and net margin of -49.2% show the business model is not yet sustainably profitable. Negative stockholders' equity and liabilities exceeding assets signal balance-sheet weakness.
What is AIP's revenue and growth?
Arteris, Inc. reported revenue of $70.6M.
Does AIP pay dividends?
Arteris, Inc. does not currently pay dividends.
Where can I find AIP SEC filings?
Official SEC filings for Arteris, Inc. (CIK: 0001667011) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is AIP's EPS?
Arteris, Inc. has a diluted EPS of $-0.82.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is AIP a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, Arteris, Inc. has a SELL rating with 82% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is AIP stock overvalued or undervalued?
Valuation metrics for AIP: ROE of N/A (sector avg: 22%), net margin of -49.2% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.
Should I buy AIP stock in 2026?
Our dual AI analysis gives Arteris, Inc. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is AIP's free cash flow?
Arteris, Inc.'s operating cash flow is $6.7M, with capital expenditures of $1.4M. FCF margin is 7.6%.
How does AIP compare to other Technology stocks?
Vs Technology sector averages: Net margin -49.2% (avg: 18%), ROE N/A (avg: 22%), current ratio 1.13 (avg: 2.5).