Lantronix Announces Preliminary Inclusion in Russell 3000® Index

Rhea-AI Summary

Lantronix (Nasdaq: LTRX), a provider of Edge AI and Industrial IoT solutions, announced its preliminary inclusion in the Russell 3000 Index as part of the 2026 Russell US indexes reconstitution, based on a list published May 22, 2026 by FTSE Russell.

Membership, which runs for half a year beginning 2026, also means automatic inclusion in either the Russell 1000 or Russell 2000 plus related growth and value style indexes. Russell US indexes are widely used benchmarks, with about $10.6 trillion in assets benchmarked, potentially increasing Lantronix’s visibility with institutional investors.

Positive

• Preliminary inclusion in 2026 Russell 3000 Index
• Automatic entry into Russell 1000 or Russell 2000 and style indexes
• Exposure to investors benchmarking approximately $10.6 trillion in assets
• Management links index inclusion to higher-growth, higher-value market focus

Negative

• Inclusion status is preliminary pending final Russell reconstitution
• Index membership described as lasting only half a year beginning 2026

News Market Reaction – LTRX

-0.41%

25 alerts

-0.41% Session close to close

+9.2% Peak in 4 hr 9 min

$288.67M Market Cap

0.2x Rel. Volume

In the May 27 session, LTRX declined 0.41%, reflecting a mild negative market reaction. Argus tracked a peak move of +9.2% during that session. Our momentum scanner triggered 25 alerts that day, indicating elevated trading interest and price volatility.

Data tracked by StockTitan Argus on the day of publication.

Market Context

This announcement highlights Lantronix’s preliminary inclusion in the Russell 3000® Index, signaling...

Analysis

This announcement highlights Lantronix’s preliminary inclusion in the Russell 3000® Index, signaling a larger market-cap profile and potential exposure to index-linked investors. It follows recent product launches and fiscal Q3 2026 results with revenue of $30.2M. Investors may watch for confirmation in the final index reconstitution, subsequent trading liquidity changes, and how index membership interacts with ongoing capital-raising flexibility from the at-the-market program.

Key Figures

Russell universe size: up to 4,000 stocks Index capture date: April 30 Preliminary list date: May 22, 2026 +2 more

5 metrics

Russell universe size up to 4,000 stocks Number of U.S. stocks captured in Russell U.S. indexes reconstitution

Index capture date April 30 Cutoff date for market-cap ranking in Russell U.S. indexes

Preliminary list date May 22, 2026 Date FTSE Russell published preliminary additions after U.S. market close

Index membership term half a year Duration of Russell 3000® Index membership beginning 2026

Assets benchmarked $10.6 trillion Assets benchmarked against Russell U.S. indexes per FTSE Russell

Historical Context

5 past events · Latest: May 12 (Positive)

Pattern 5 events

Date	Event	Sentiment	24h Move	Catalyst
May 12	Product launch	Positive	-2.2%	Launch of xPico 600 embedded module for Industrial IoT and Edge AI.
May 07	Investor conferences	Neutral	+5.7%	CEO and CFO participation in Needham and Craig-Hallum investor events.
May 06	Earnings release	Positive	-13.9%	Fiscal Q3 2026 results with revenue, EPS, and updated outlook.
Apr 30	Product debut	Positive	+7.5%	Debut of NDAA-compliant Open‑Q 8550CS µSOM and drone platform.
Apr 22	Earnings date set	Neutral	+0.3%	Announcement of date and call details for fiscal Q3 2026 results.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Pattern Detected

Positive product and strategic news has sometimes led to negative or muted moves, while conference participation and product debuts have seen stronger upside reactions.

Recent Company History

Over the past months, Lantronix has focused on Edge AI and Industrial IoT, debuting products like the xPico 600 and Open‑Q 8550CS µSOM and engaging investors via conferences in May 2026. Fiscal Q3 2026 results showed revenue of $30.2M and updated guidance but saw a negative price reaction. Today’s preliminary Russell 3000® index inclusion highlights growing market stature following these operational and financial milestones.

Key Terms

russell 3000 index, russell 1000 index, russell 2000 index, ftse russell, +4 more

8 terms

russell 3000 index financial

"the Company has been included in the preliminary list of additions to the Russell 3000® Index"

A broad stock market index that tracks the performance of the roughly 3,000 largest publicly traded U.S. companies by total market value, representing almost the entire U.S. equity market. Investors use it like a big basket or thermometer: it provides a simple snapshot of overall U.S. stock market health, serves as a benchmark for funds and portfolios, and helps measure diversification, risk and returns over time.

russell 1000 index financial

"means automatic inclusion in the large-cap Russell 1000 Index or small-cap Russell 2000 Index"

A stock-market benchmark that tracks the performance of the 1,000 largest U.S. publicly traded companies by market value, representing the large-cap portion of the U.S. equity market. Think of it as a thermometer for big American companies: investors, mutual funds and ETFs compare returns to it and often build products that follow it, so its gains or losses influence many portfolios and signal broader market trends.

russell 2000 index financial

"means automatic inclusion in the large-cap Russell 1000 Index or small-cap Russell 2000 Index"

A stock-market benchmark that tracks about 2,000 small-cap U.S. companies, the Russell 2000 gives a snapshot of how smaller publicly traded firms are performing. Investors use it like a thermometer or yardstick for the small-company segment of the market—funds and portfolio managers compare returns to it, and its movements can signal changes in economic risk appetite or growth expectations; it is weighted so larger small companies have a bigger influence on the index.

ftse russell financial

"according to a preliminary list published by FTSE Russell after the U.S. market close"

FTSE Russell is a global index provider that creates and maintains lists (indexes) showing how groups of stocks perform, similar to a scoreboard that ranks companies by size, sector and trading activity. Investors use these indexes as benchmarks and as the basis for investment products like index funds and ETFs, so when a stock is added or removed it can trigger buying or selling that affects its price and liquidity.

edge ai technical

"a global provider of Edge AI and Industrial IoT solutions that power NDAA-compliant unmanned systems"

Edge AI refers to artificial intelligence systems that process data directly on local devices or nearby servers rather than sending information to distant data centers. This allows for faster decision-making and real-time responses, similar to how a home security camera can instantly detect motion without needing to connect to a remote server. For investors, edge AI represents a growing trend toward more efficient, responsive technology that can create new opportunities across various industries.

industrial iot technical

"a global provider of Edge AI and Industrial IoT solutions that power NDAA-compliant unmanned systems"

Industrial IoT (Industrial Internet of Things) is a system of connected sensors, machines and control devices in factories, power plants and transportation networks that collect real-time data and allow remote monitoring and automated adjustments. Think of it like a smart home for heavy equipment: tiny sensors act like thermostats and motion detectors, giving operators instant feedback and control. For investors, IIoT can cut costs, boost output and predict breakdowns—changing revenue, margins and capital needs—while also introducing cyber and implementation risks.

ndaA-compliant regulatory

"solutions that power NDAA-compliant unmanned systems, critical infrastructure and resilient enterprise networks"

NDAA-compliant means that a product, supplier, or company meets the rules in the U.S. National Defense Authorization Act that bar certain foreign technologies and require specific security practices. For investors, compliance matters because it determines whether a business can sell to the U.S. government, avoid fines or bans, and reduce supply‑chain or reputational risk—similar to passing a background check that lets you bid on a sensitive contract.

market-capitalization rankings financial

"FTSE Russell determines membership for its Russell indexes primarily by objective, market-capitalization rankings"

Market-capitalization rankings are a list that orders companies by their market value — the share price multiplied by the number of shares outstanding — so the biggest firms appear at the top and smaller ones lower down. For investors this matters because size often signals stability, liquidity, index inclusion and how a company is compared to peers, much like ranking ships by tonnage to gauge their carrying capacity and reliability.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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IRVINE, Calif., May 27, 2026 (GLOBE NEWSWIRE) -- Lantronix Inc. (Nasdaq: LTRX), a global provider of Edge AI and Industrial IoT solutions that power NDAA-compliant unmanned systems, critical infrastructure and resilient enterprise networks, today announced that the Company has been included in the preliminary list of additions to the Russell 3000® Index as part of the 2026 Russell indexes reconstitution, according to a preliminary list published by FTSE Russell after the U.S. market close on Friday, May 22, 2026.

The June reconstitution of the Russell US indexes captures up to the 4,000 largest US stocks as of April 30, ranking them by total market capitalization. Membership in the Russell 3000^® Index, which remains in place for half a year beginning 2026, means automatic inclusion in the large-cap Russell 1000 Index or small-cap Russell 2000 Index as well as the appropriate growth and value style indexes. FTSE Russell determines membership for its Russell indexes primarily by objective, market-capitalization rankings and style attributes.

“Our preliminary inclusion in the Russell 3000 Index reflects the meaningful progress we have made repositioning Lantronix toward higher-growth, higher-value end markets,” said Saleel Awsare, chief executive officer at Lantronix. “We believe this milestone will help broaden our visibility within the investment community as we continue executing our strategy to drive sustainable, long-term shareholder value.”

The Russell U.S. Indexes are widely used by investment managers and institutional investors for index funds and as benchmarks for active investment strategies. According to FTSE Russell, approximately $10.6 trillion in assets are benchmarked against Russell U.S. indexes.

For more information on the Russell indexes reconstitution, visit the FTSE Russell website at www.ftserussell.com.

About Lantronix 

Lantronix Inc. (Nasdaq: LTRX) is a global leader in Edge AI and Industrial IoT solutions, delivering intelligent computing, secure connectivity and remote management for mission-critical applications. Serving high-growth markets, including smart cities, enterprise IT and commercial and defense unmanned systems, including drones, Lantronix enables customers to optimize operations and accelerate digital transformation. Its comprehensive portfolio of hardware, software and services powers applications from secure video surveillance and intelligent utility infrastructure to resilient out-of-band network management. By bringing intelligence to the network edge, Lantronix helps organizations achieve efficiency, security and a competitive edge in today’s AI-driven world. For more information, visit the Lantronix website.

“Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995: This news release contains forward-looking statements within the meaning of federal securities laws, including statements regarding Lantronix’s preliminary inclusion in the Russell 3000® Index, the anticipated benefits of such inclusion, increased visibility within the investment community, anticipated growth opportunities, market positioning and long-term shareholder value. These forward-looking statements are based on current expectations and are subject to risks and uncertainties that could cause actual results, future business, financial condition or performance to differ materially from those expressed or implied in such statements. Potential risks and uncertainties include, but are not limited to, the possibility that Lantronix may not be included in the final Russell 3000® Index following completion of the annual reconstitution process; adverse economic or market conditions; supply chain disruptions; changes in trade policies, tariffs, laws or regulations; cybersecurity risks; integration risks related to acquisitions; intellectual property protection challenges; indebtedness and related restrictions; and other risks described in Lantronix’s filings with the Securities and Exchange Commission, including its most recent Annual Report on Form 10-K and subsequent SEC filings. Actual results may also differ due to risks and uncertainties currently unknown or deemed immaterial. For these reasons, investors are cautioned not to place undue reliance on any forward-looking statements. Forward-looking statements speak only as of the date made, and Lantronix undertakes no obligation to update them except as required by law or the rules of the Nasdaq Stock Market LLC.

Lantronix Media Contact:
media@lantronix.com 
949-212-0960 

Lantronix Analyst and Investor Contact:
investors@lantronix.com

FAQ

What did Lantronix (LTRX) announce about the Russell 3000 Index on May 27, 2026?

Lantronix announced its preliminary inclusion in the 2026 Russell 3000 Index. According to Lantronix, this follows a May 22, 2026 preliminary additions list from FTSE Russell tied to the annual U.S. index reconstitution process.

How could Lantronix’s inclusion in the Russell 3000 Index impact LTRX shareholders?

Preliminary Russell 3000 inclusion may increase visibility with index and institutional investors. According to Lantronix, the Russell U.S. indexes benchmark about $10.6 trillion in assets, which can draw attention from funds tracking or referencing these benchmarks.

Will Lantronix (LTRX) also join the Russell 1000 or Russell 2000 in 2026?

Yes, Russell 3000 membership brings automatic inclusion in either the Russell 1000 or Russell 2000. According to Lantronix, it will also be added to the appropriate growth and value style indexes linked to its market-cap and style attributes.

How long will Lantronix remain in the Russell 3000 Index after the 2026 reconstitution?

Lantronix states that Russell 3000 membership remains in place for half a year beginning 2026. Continued inclusion depends on FTSE Russell’s future market-capitalization rankings and style reviews during subsequent index reconstitutions.

What criteria did FTSE Russell use to preliminarily add Lantronix (LTRX) to the Russell 3000?

FTSE Russell uses objective market-capitalization rankings and style attributes to determine membership. According to Lantronix, the 2026 reconstitution captures up to the 4,000 largest U.S. stocks as of April 30, then assigns them across the Russell U.S. index family.

Why does Lantronix view Russell 3000 inclusion as important for its long-term strategy?

Lantronix links preliminary index inclusion to progress repositioning toward higher-growth, higher-value markets. According to Lantronix, management believes this milestone can broaden investment community visibility as it executes its strategy for sustainable, long-term shareholder value.