Arteris Inc

Arteris has partnered with IC-Link by imec to accelerate the development of next-generation AI and HPC semiconductors. The collaboration integrates Arteris' network-on-chip IP technology into IC-Link's ASIC design services, providing a scalable, reusable infrastructure that simplifies the creation of complex chiplets and custom silicon. By using Arteris' proven NoC technology, IC-Link's reference designs minimize development risk and integration complexity, allowing engineering teams to focus resources on optimizing accelerator cores rather than foundational data movement. The partnership reflects a broader industry movement toward reusable architectures to manage the rising scale and complexity of AI and HPC systems.

Arteris has expanded its partnership with Arm to enhance semiconductor cybersecurity for AI chips. The collaboration builds on five years of joint work and integrates Arteris' Cycuity Radix hardware security assurance product into Arm's CPU design processes. The goal is to proactively address potential security vulnerabilities and strengthen the security assurance of processor cores, underscoring the importance of robust security measures from data centers to edge applications.

SiEngine Technology, a Chinese automotive chipmaker, has licensed Arteris' network-on-chip interconnect IP for a next-generation automotive SoC platform. The chips will power intelligent cockpit systems, advanced driver assistance, and AI-driven cockpit-drive fusion applications. SiEngine has used Arteris technology across multiple chip generations, and this latest agreement represents a continued expansion of that partnership. Arteris' FlexNoC 5 addresses the need for more sophisticated on-chip connectivity driven by increasingly software-defined and compute-heavy automotive architectures, improving data routing, reducing congestion, lowering power use, and meeting ISO 26262 automotive safety standards.

Arteris shares have surged 425% over the past 52 weeks, recently trading near new all-time highs at $46.95 after hitting a record $50.26 on June 30. The stock maintains a 100% Buy technical opinion from Barchart, with a Weighted Alpha of +484.85 and a Trend Seeker Buy signal intact since June 11. Revenue is projected to grow 33.25% this year and 20.27% next year, while earnings are estimated to jump 73.48% this year and an additional 282.86% next year. Analyst sentiment is mixed: three Strong Buy and two Hold ratings from Wall Street analysts with price targets between $35 and $40, while Morningstar considers the stock 43% overvalued with a fair value of $33.89. The company, valued at $2.19 billion, provides network-on-chip interconnect and IP deployment software for system-on-a-chip semiconductors across automotive, communications, and other sectors globally.

Small and mid-cap AI stocks have significantly outperformed large caps in the first half of 2026, with the Russell 2000 and S&P 600 up 20% and 21% respectively, compared to an 8.5% gain for the S&P 500. Five stocks that have more than doubled this year and hold favorable Zacks Ranks are Bandwidth, Arteris, Penguin Solutions, A10 Networks, and Veeco Instruments. Bandwidth, a Zacks Rank #1, operates a conversational AI platform and expects 18.3% revenue growth this year. Arteris, a Zacks Rank #2, provides system IP for AI and automotive chips and projects 34.4% revenue growth. Penguin Solutions, also a Zacks Rank #1, offers AI infrastructure solutions and anticipates 25% revenue growth next year. A10 Networks, a Zacks Rank #2, delivers application networking for AI data centers and expects 11.9% revenue growth. Veeco Instruments, a Zacks Rank #1, makes thin film process equipment for AI hardware and forecasts 20.2% revenue growth.