IPhone 5 freezes even being setup as new

Guys,
I have a verizon iphone 5 with 7.0.4 installed. Just this week my phone becomes unresponsive. Nothing will launch. To get past this, you can lock, then unlock, and use the phone as usual.
Last night I restored from a backup and it does the exact same thing.
I also wiped the phone so it was like new, and it did it again.
I'm guessing this is hardware?
Its bad for me since my phone just went out of warranty last month.
TIA

Thanks. Yes, I restored from backup - still got the same freeze up issues.
I also reset the phone and wiped clean - still got the same freeze up issues.
Whats weird when it freezes up is that if I'm looking at a SMS message, the cursor will blink but nothing is responsive. I have to lock it, then unlock, and it will become responsive again. Weird.

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IPhone 5 freezes even being setup as new

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