Silicom (NASDAQ:SILC) Posts Earnings Results, Beats Estimates By $0.03 EPS

Silicom (NASDAQ:SILC) released its quarterly earnings data on Thursday. The technology company reported ($0.34) EPS for the quarter, topping analysts’ consensus estimates of ($0.37) by $0.03, FiscalAI reports. The firm had revenue of $16.91 million during the quarter, compared to analysts’ expectations of $15.65 million. Silicom had a negative net margin of 22.47% and a negative return on equity of 10.83%.

Here are the key takeaways from Silicom’s conference call:

• Q4 revenue grew 17% year?over?year to $16.9 million, beating prior guidance of $15–$16 million and signaling resilient demand for Silicom’s core products.
• Silicom secured eight major design wins in 2025 and says its pipeline is the largest it’s seen, targeting an additional 7–9 design wins in 2026, which management says gives strong visibility for continued growth.
• Management flagged three strategic upside opportunities — AI inference, post?quantum cryptography (PQC), and white?label switching — with initial POCs and early orders but emphasized these initiatives are still in early stages and not expected to be major contributors in 2026.
• The balance sheet is strong with working capital and marketable securities of $111 million, including $74 million in cash and no debt (about $20 per share), providing flexibility to invest in growth.
• Non?GAAP operating expenses rose to $7.5 million (partly due to currency weakness), and the company reported a net loss of $1.9 million (loss per share $0.34) in Q4.

Silicom Trading Up 17.5%

NASDAQ SILC traded up $2.63 on Thursday, hitting $17.69. 145,821 shares of the company were exchanged, compared to its average volume of 36,816. The stock has a fifty day moving average of $14.86 and a 200-day moving average of $15.95. The company has a market cap of $100.32 million, a PE ratio of -7.58 and a beta of 1.04. Silicom has a 12 month low of $12.44 and a 12 month high of $19.36.

Analysts Set New Price Targets

SILC has been the subject of several recent research reports. Wall Street Zen upgraded Silicom to a “hold” rating in a research note on Friday, October 3rd. Weiss Ratings reissued a “sell (d-)” rating on shares of Silicom in a report on Monday, December 29th. One research analyst has rated the stock with a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Reduce”.

Hedge Funds Weigh In On Silicom

Several large investors have recently bought and sold shares of SILC. Susquehanna International Group LLP bought a new stake in Silicom during the third quarter valued at $277,000. Citadel Advisors LLC boosted its stake in shares of Silicom by 7.3% in the 3rd quarter. Citadel Advisors LLC now owns 16,492 shares of the technology company’s stock valued at $292,000 after purchasing an additional 1,117 shares in the last quarter. Goldman Sachs Group Inc. purchased a new position in shares of Silicom in the first quarter worth about $151,000. Finally, Bank of America Corp DE purchased a new stake in shares of Silicom during the fourth quarter valued at approximately $29,000. 52.85% of the stock is currently owned by institutional investors.

Silicom Company Profile

Silicom Ltd. is an Israel?based provider of advanced networking infrastructure products designed to enhance data throughput, security, and functionality in enterprise, cloud, telecommunications, and edge?computing environments. The company develops and manufactures a range of network interface cards (NICs), specialized adapters, and turnkey network appliances that support high?performance packet processing, encryption, compression, and traffic optimization. Silicom’s solutions are engineered to offload complex network functions from central processing units, enabling customers to achieve greater efficiency, reliability, and scalability in their data centers.

Founded in 1987 and headquartered in Lod, Israel, Silicom has grown from a niche hardware developer into a global supplier of connectivity and networking solutions.