GET DAILY SIGNALSEverspin Technologies (MRAM) Delivers Record Revenue Growth of +47% in Q3
Key Takeaways
- Everspin reported record third-quarter revenue of $20.6 million, up 47% year over year, beating the consensus estimate of roughly $20.1 million.
- Non-GAAP diluted earnings per share (EPS) more than doubled to $0.12 from $0.06 a year earlier, while non-GAAP net income rose 109% to $3.1 million.
- GAAP diluted EPS swung to a loss of -$0.29, driven primarily by about $6.0 million in litigation costs and a $2.7 million regulatory reserve.
- MRAM product sales grew about 34% to $16.9 million, while licensing, royalty, engineering services, and other revenue jumped roughly 170% to $3.7 million.
- Management issued fourth-quarter guidance above consensus, calling for revenue of $21.5 million to $22.5 million and non-GAAP EPS of $0.13 to $0.18.
Putting the Quarter in Context
MRAM is a leading developer of magnetoresistive random access memory, a persistent non-volatile technology suited for industrial automation, data centers, aerospace, and other demanding applications. Its results provide insight into demand for specialized memory amid broader semiconductor inventory adjustments. The third quarter of 2026 stood out as a milestone, with total revenue hitting a record and growth accelerating across both product sales and licensing streams. At the same time, elevated legal and regulatory expenses created a clear divide between GAAP and adjusted non-GAAP performance.
Breaking Down the Reported Results
For the third quarter of 2026, MRAM delivered total revenue of $20.6 million, a 47% increase from $14.1 million in the same period last year and ahead of the consensus estimate of about $20.1 million. MRAM product sales, covering both Toggle and spin-transfer torque variants, rose approximately 34% to $16.9 million. Licensing, royalty, engineering services, and other revenue climbed roughly 170% to $3.7 million, emerging as a stronger secondary contributor.
On a GAAP basis, the company posted a net loss of $7.2 million, or -$0.29 per diluted share, compared with breakeven results a year earlier. Operating expenses more than doubled to $18.5 million, largely due to about $6.0 million in litigation costs and a $2.7 million regulatory reserve. On a non-GAAP basis, which excludes stock-based compensation, litigation expenses, and non-recurring engineering fees, net income reached $3.1 million, or $0.12 per diluted share, versus $1.5 million, or $0.06, in the prior-year quarter. I also checked this using Tickeron’s AI Screener to see how the stock compares to others in the industry.
Management guided fourth-quarter revenue to a range of $21.5 million to $22.5 million and non-GAAP EPS to $0.13 to $0.18, both above consensus at the time.
Market Reaction and Investor Sentiment
Heading into the release, focus was on whether MRAM could maintain its recent revenue momentum after shares had gained about 35% over the prior twelve months. The record top-line result and above-consensus fourth-quarter outlook offered a positive backdrop, while the non-GAAP EPS of $0.12 significantly exceeded the consensus estimate of -$0.03. The sharp rise in litigation and regulatory costs, however, added uncertainty around GAAP profitability, leaving investors with mixed signals to evaluate. Overall sentiment reflected a balance between enthusiasm for accelerating demand and caution over the one-time and ongoing legal expenses affecting reported earnings.
Forward Outlook and Key Factors to Monitor
Investors will likely watch whether MRAM can translate its record revenue into more consistent GAAP profitability. The non-GAAP operating margin improved to 11.2% from a negative 1.0% a year ago, indicating the core business continues to scale effectively despite the distorting effect of legal costs.
Key areas to follow include the path of litigation and regulatory expenses, which have been the main driver of the GAAP versus non-GAAP gap. Any reduction or resolution here could narrow that difference meaningfully. Demand trends in industrial automation, data centers, and other end markets will also be important, as will the expansion of licensing and royalty revenue. Management’s fourth-quarter guidance points to further sequential growth, but attention will remain on gross margin stability and operating expense control as the company advances its next-generation MRAM roadmap.
Enhancing My Research with Tickeron Tools
In my ongoing analysis of semiconductor names, I often rely on Tickeron’s AI Screener to quickly filter opportunities by technical patterns, fundamentals, and industry trends. This tool helps me place individual results like those from MRAM into a broader peer context and spot emerging setups more efficiently than manual methods alone.
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Contributor
Sergey Savastiouk, Ph.D. has a degree in Applied Mathematics from Moscow University and has extensive experience as an entrepreneur, investor, manager, and mathematician. His professional expertise is in applied mathematics, mathematical modeling, system and pattern analysis, and software and hardware system integration. He has served as the CEO of several hi-tech start-up companies and nonprofit organizations, which has given him proven capabilities in business strategy for high-tech start-up companies, market assessment, company formation, team building, product development, marketing, and sales. He has published numerous articles in journals and magazines on related fields. As a retail investor, he spent 15 years developing his proprietary trading and quantitative algorithms (now Tickeron’s A.I.), which brought him significant returns in trading the stock market. His current work and goal in founding Tickeron is to bring professional, sophisticated stock market analysis capabilities to retail investors via an easy-to-use interface.
MRAM's RSI Oscillator recovers from oversold territory
The RSI Indicator for MRAM moved out of oversold territory on October 26, 2026. This could be a sign that the stock is shifting from a downward trend to an upward trend. Traders may want to buy the stock or call options. The A.I.dvisor looked at 23 similar instances when the indicator left oversold territory. In 19 of the 23 cases the stock moved higher. This puts the odds of a move higher at 83%.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. 53 of 69 cases where MRAM's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are 77%.
Following a +10.64% 3-day Advance, the price is estimated to grow further. Considering data from situations where MRAM advanced for three days, in 225 of 282 cases, the price rose further within the following month. The odds of a continued upward trend are 80%.
MRAM may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on October 08, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on MRAM as a result. In 59 of 77 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are 77%.
The Moving Average Convergence Divergence Histogram (MACD) for MRAM turned negative on October 08, 2026. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 44 similar instances when the indicator turned negative. In 34 of the 44 cases the stock turned lower in the days that followed. This puts the odds of success at 77%.
MRAM moved below its 50-day moving average on October 08, 2026 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for MRAM crossed bearishly below the 50-day moving average on October 14, 2026. This indicates that the trend has shifted lower and could be considered a sell signal. In 10 of 17 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are 59%.
The 50-day moving average for MRAM moved below the 200-day moving average on October 19, 2026. This could be a long-term bearish signal for the stock as the stock shifts to an downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where MRAM declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 74%.
The Aroon Indicator for MRAM entered a downward trend on September 24, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
The Tickeron Valuation Rating of 7 (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (4.640) is normal, around the industry mean (6.440). P/E Ratio (-116.083) is within average values for comparable stocks, (22.880). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (3.761). Dividend Yield (0.000) settles around the average of (0.011) among similar stocks. P/S Ratio (5.328) is also within normal values, averaging (45.794).
The Tickeron Seasonality Score of 29 (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Price Growth Rating for this company is 63 (best 1 - 100 worst), indicating fairly steady price growth. MRAM’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is 83 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. MRAM’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 75, placing this stock worse than average.
The Tickeron SMR rating for this company is 92 (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron PE Growth Rating for this company is 99 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
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General Information
a manufacturer of magnetic random access memory chips
Industry Semiconductors
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