Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?
Ouster went public via a SPAC merger in 2021, coinciding with the peak and decline of SPAC popularity. The company's execution and unprofitability may influence investor sentiment and risk tolerance. Its recent move into developing its custom-built hardware should double its total addressable market.
Ouster delivered a strong Q3 with 41% revenue growth, beating estimates, yet shares dipped due to broader market weakness. The Physical AI company is benefiting from its focus on non-automotive LiDAR markets, with major customers like Serve Tech. scaling orders and significant untapped demand. Ouster still hasn't seen 10% of customers enter production-scale mode, hinting at substantial growth ahead.
Ouster (OUST) remains a Hold as risk and reward are balanced, with strong growth but ongoing losses and a high valuation. OUST is expanding its hardware-plus-software strategy, landing major contracts and improving gross margins, but profitability remains distant. Valuation is steep at nearly 10x 2025 sales, making the stock vulnerable if growth slows or margins disappoint.
Ouster (OUST) has been upgraded to a Zacks Rank #2 (Buy), reflecting growing optimism about the company's earnings prospects. This might drive the stock higher in the near term.
Ouster, Inc. ( OUST ) Q3 2025 Earnings Call November 4, 2025 5:00 PM EST Company Participants Chen Geng - Senior VP of Strategic Finance & Treasurer Charles Pacala - Co-founder, CEO & Director Kenneth Gianella - Chief Financial Officer Conference Call Participants Colin Rusch - Oppenheimer & Co. Inc., Research Division Anand Balaji - Cantor Fitzgerald & Co., Research Division Madison de Paola - Rosenblatt Securities Inc., Research Division Tyler Perry Anderson - Craig-Hallum Capital Group LLC, Research Division Casey Ryan - WestPark Capital, Inc., Research Division Timothy Savageaux - Northland Capital Markets, Research Division Presentation Operator Hello, and welcome to Ouster's Third Quarter 2025 Earnings Conference Call. [Operator Instructions] The call today is being recorded, and a replay of the call will be available on the Ouster Investor Relations website an hour after the completion of this call.
Ouster, Inc. (OUST) came out with a quarterly loss of $0.37 per share versus the Zacks Consensus Estimate of a loss of $0.43. This compares to a loss of $0.54 per share a year ago.
Ouster (NYSE: OUST) beat on both earnings and revenue Tuesday, posting a smaller loss than expected and delivering record sensor shipments.
Ouster's push into global markets and software-driven partnerships aims to transform it into a diversified lidar technology leader.
In the most recent trading session, Ouster, Inc. (OUST) closed at $33.1, indicating a -10.73% shift from the previous trading day.
Ouster's shift toward software-driven LiDAR solutions and broader market adoption positions it for long-term growth despite valuation concerns.
INVZ's expanding partnerships and accelerating robotaxi programs make it the safer LiDAR play over Ouster.