Shares of Veritone, Inc. (NASDAQ:VERI) have received a consensus rating of “Moderate Buy” from seven research firms following the company. According to data from Marketbeat.com, one analyst issued a sell recommendation, while one rated the stock as a hold. The majority view includes four buy recommendations and one strong buy, reflecting a diverse outlook on the company’s performance.
Recent reports indicate that the average 12-month price target is set at $10.00. Notably, HC Wainwright raised its target price from $6.00 to $9.00, maintaining a buy rating as of October 20, 2023. In contrast, Weiss Ratings reaffirmed a “sell (e+)” rating on October 8, 2023. Meanwhile, D Boral Capital upgraded Veritone to a “strong buy” on September 2, 2023, and later reiterated a buy rating with a target price of $23.00 on December 9, 2023. Additionally, Wall Street Zen adjusted their rating from sell to hold on October 26, 2023, indicating a more cautious approach.
Recent Earnings and Financial Performance
Veritone’s financial performance has been a focal point for analysts. The company reported its quarterly earnings on November 6, 2023, revealing an earnings per share (EPS) of ($0.09), which surpassed the consensus estimate of ($0.11) by $0.02. Revenue for the quarter totaled $29.12 million, exceeding analysts’ expectations of $28.69 million. Despite these positive figures, Veritone recorded a negative net margin of 42.60% and a troubling return on equity of 361.72%, raising concerns about the overall financial health of the company.
Institutional Investment Activity
Institutional investors have shown increasing interest in Veritone. Recently, several hedge funds adjusted their positions in the company. Ground Swell Capital LLC acquired a new stake worth approximately $27,000 during the second quarter. Virtu Financial LLC purchased shares valued at about $30,000 in the first quarter, while Franklin Resources Inc. acquired a new position worth around $50,000 in the third quarter. Furthermore, Sherbrooke Park Advisers LLC and Jefferies Financial Group Inc. made investments valued at $80,000 and $82,000, respectively, during the same period. Currently, institutional investors hold 39.18% of the company’s stock.
Veritone operates as a provider of artificial intelligence (AI) computing solutions and services across various regions, including the United States, the United Kingdom, France, Australia, Israel, and India. Its flagship product, the aiWARE platform, utilizes machine learning algorithms designed to emulate human cognitive functions such as perception and problem-solving. This platform enables users to convert unstructured data into structured data, optimizing business processes and driving insights.
As Veritone continues to navigate the complexities of the tech landscape, the insights from analysts and institutional investment trends will remain critical to understanding its trajectory moving forward.
