Ouster (NASDAQ:OUST) Stock Price Down 9.9% - What's Next?

Key Points

• Ouster shares fell 9.9% to $32.98 on Friday, with trading volume about 89% below its average.
• The company’s latest quarter showed revenue of $59.33 million, ahead of estimates, but a loss of $0.20 per share, wider than analysts expected. Its negative net margin was 20.36%.
• Analyst sentiment is mixed but leans positive: six analysts rate Ouster a Buy and one a Sell, with a consensus “Moderate Buy” rating and a $58 price target. Insiders sold a combined 143,037 shares over the past three months.

Ouster, Inc. (NASDAQ:OUST - Get Free Report)'s share price traded down 9.9% during trading on Friday. The company traded as low as $34.12 and last traded at $32.9830. Approximately 334,936 shares changed hands during mid-day trading, a decline of 89% from the average session volume of 3,063,559 shares. The stock had previously closed at $36.60.

Trending Headlines about Ouster

Here are a few of the latest headlines about OUST:

• Positive Sentiment: Ouster’s revenue reportedly rose 50%, and its shares gained 17% in the week ended November 6. The growth supports the company’s demand outlook, though it does not resolve concerns about profitability. Ouster Stock Surged 17% in the Week Ended November 6 as Revenue Jumped 50%
• Neutral Sentiment: Reports of turmoil around Nvidia CEO Jensen Huang triggered a broad technology-market selloff. That may pressure sentiment toward high-growth technology stocks like Ouster, but the reports do not describe a company-specific development at Ouster. US stocks fall as Huang ouster sends shockwaves through tech
• Negative Sentiment: A Seeking Alpha analysis acknowledges Ouster’s growth but argues it does not justify buying the stock, reflecting valuation concerns that could limit enthusiasm after its recent run-up. Ouster: Impressive Growth Still Doesn't Justify A Buy

Analysts Set New Price Targets

A number of equities analysts have recently weighed in on the company. Cantor Fitzgerald raised Ouster from a "neutral" rating to an "overweight" rating and set a $45.00 target price on the stock in a research report on Wednesday, November 4th. Rosenblatt Securities reissued a "buy" rating and issued a $53.00 price target on shares of Ouster in a research report on Wednesday, November 4th. Northland Securities set a $60.00 price target on shares of Ouster and gave the company an "outperform" rating in a research note on Tuesday, July 21st. Citigroup restated an "outperform" rating on shares of Ouster in a report on Tuesday, July 21st. Finally, Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Ouster in a research note on Tuesday. Six equities research analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $58.00.

Ouster Trading Down 8.7%

The business has a fifty day simple moving average of $35.65 and a 200 day simple moving average of $32.79. The stock has a market capitalization of $2.41 billion, a P/E ratio of -48.44 and a beta of 3.47.

Ouster (NASDAQ:OUST - Get Free Report) last posted its earnings results on Tuesday, November 3rd. The company reported ($0.20) earnings per share for the quarter, missing analysts' consensus estimates of ($0.08) by ($0.12). The company had revenue of $59.33 million during the quarter, compared to the consensus estimate of $56.30 million. Ouster had a negative net margin of 20.36% and a negative return on equity of 11.70%. As a group, research analysts forecast that Ouster, Inc. will post -0.97 earnings per share for the current year.

Insiders Place Their Bets

In other Ouster news, CEO Charles Pacala sold 30,385 shares of Ouster stock in a transaction on Monday, September 14th. The shares were sold at an average price of $33.96, for a total transaction of $1,031,874.60. Following the transaction, the chief executive officer directly owned 1,041,816 shares of the company's stock, valued at $35,380,071.36. The trade was a 2.83% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, General Counsel Megan Chung sold 11,484 shares of the company's stock in a transaction on Monday, September 14th. The stock was sold at an average price of $33.96, for a total transaction of $389,996.64. Following the completion of the sale, the general counsel owned 189,291 shares of the company's stock, valued at approximately $6,428,322.36. The trade was a 5.72% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 143,037 shares of company stock worth $5,312,537 in the last three months. 5.72% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Parallel Advisors LLC grew its position in Ouster by 66.2% in the 3rd quarter. Parallel Advisors LLC now owns 866 shares of the company's stock worth $35,000 after purchasing an additional 345 shares in the last quarter. Farther Finance Advisors LLC lifted its position in shares of Ouster by 83.4% during the 3rd quarter. Farther Finance Advisors LLC now owns 895 shares of the company's stock worth $36,000 after buying an additional 407 shares in the last quarter. Integrated Wealth Concepts LLC purchased a new position in shares of Ouster in the 2nd quarter worth approximately $74,000. Allworth Financial LP boosted its stake in shares of Ouster by 40.3% in the 2nd quarter. Allworth Financial LP now owns 1,190 shares of the company's stock worth $74,000 after buying an additional 342 shares during the last quarter. Finally, MCF Advisors LLC boosted its stake in shares of Ouster by 34.4% in the 2nd quarter. MCF Advisors LLC now owns 1,344 shares of the company's stock worth $84,000 after buying an additional 344 shares during the last quarter. 31.45% of the stock is currently owned by hedge funds and other institutional investors.

Ouster Company Profile

Ouster, Inc. develops lidar sensors and software that help machines and infrastructure detect and interpret their surroundings. Its digital lidar products use laser-based sensing to create 3D representations of nearby objects and environments. The company serves customers in areas including industrial automation, robotics, smart infrastructure and automotive applications. Its offerings include lidar sensors and perception software designed to support tasks such as object detection, mapping and navigation.

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