GCT Semiconductor (NYSE:GCTS) Issues Quarterly Earnings Results, Misses Expectations By $0.02 EPS

GCT Semiconductor (NYSE:GCTS) announced its earnings results on Tuesday. The company reported ($0.15) earnings per share for the quarter, missing the consensus estimate of ($0.13) by ($0.02), FiscalAI reports. The company had revenue of $1.92 million for the quarter, compared to analysts’ expectations of $1.77 million.

Here are the key takeaways from GCT Semiconductor’s conference call:

• GCT said 5G commercial traction is building, with 3,000 5G chipsets shipped in Q1, up 58% sequentially from Q4, as customers move from testing toward initial deployments.
• Revenue rose to $1.9 million from $0.5 million a year ago, driven by higher product sales and service revenue, while gross margin improved sharply to 49% due to a richer mix of service and 5G-related revenue.
• The company expanded its engagement with a major satellite communications provider through a reference platform agreement, with initial 5G chipset shipments to that partner still expected to begin in the second half of 2026.
• Management said Q1 service revenue included a one-time licensing recognition, and future service revenue should be lower and more milestone-based as product shipments become the main revenue driver.
• Despite progress, the business is still early in commercialization, with Q1 cash of $7.2 million and management expecting operating expenses to ramp to about $8 million per quarter starting in Q3 as R&D increases.

GCT Semiconductor Stock Performance

Shares of NYSE:GCTS traded up $0.00 during trading hours on Tuesday, reaching $1.60. The stock had a trading volume of 7,307,194 shares, compared to its average volume of 3,803,732. GCT Semiconductor has a 1 year low of $0.90 and a 1 year high of $2.47. The firm’s 50 day moving average is $1.27 and its 200-day moving average is $1.27. The stock has a market capitalization of $116.17 million, a price-to-earnings ratio of -1.98 and a beta of 1.27.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the business. State Street Corp increased its holdings in shares of GCT Semiconductor by 8.9% in the 4th quarter. State Street Corp now owns 144,689 shares of the company’s stock valued at $174,000 after acquiring an additional 11,800 shares during the last quarter. Geode Capital Management LLC grew its position in GCT Semiconductor by 4.5% during the 4th quarter. Geode Capital Management LLC now owns 414,944 shares of the company’s stock worth $498,000 after purchasing an additional 17,867 shares during the last quarter. XTX Topco Ltd purchased a new position in shares of GCT Semiconductor in the 4th quarter valued at approximately $26,000. Engineers Gate Manager LP purchased a new stake in shares of GCT Semiconductor in the second quarter valued at about $37,000. Finally, Bridgeway Capital Management LLC grew its position in GCT Semiconductor by 50.0% during the fourth quarter. Bridgeway Capital Management LLC now owns 75,000 shares of the company’s stock worth $90,000 after buying an additional 25,000 shares during the period. Hedge funds and other institutional investors own 28.06% of the company’s stock.

Wall Street Analysts Forecast Growth

Several brokerages recently weighed in on GCTS. HC Wainwright reaffirmed a “buy” rating and set a $3.00 target price on shares of GCT Semiconductor in a research note on Monday, March 30th. Weiss Ratings upgraded GCT Semiconductor from a “sell (e+)” rating to a “sell (d-)” rating in a report on Wednesday, May 6th. Two research analysts have rated the stock with a Buy rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and a consensus target price of $3.50.

GCT Semiconductor Company Profile

GCT Semiconductor Holding, Inc, operates as a fabless semiconductor company, designs, develops, and markets integrated circuits for the wireless semiconductor industry. The company provides RF and modem chipsets based on 4G LTE technology, including 4G LTE, 4.5G LTE Advanced, and 4.75G LTE Advanced-Pro. It also develops and sells cellular IoT chipsets for low-speed mobile networks such as eMTC/NB-IOT/Sigfox, and other network protocols; and 5G solutions. Its products and solutions are used in smartphones, tablets, hotspots, CPEs, USB dongles, routers, and M2M applications.