Ouster (NASDAQ:OUST) Trading Down 17% – Should You Sell?

Ouster, Inc. (NASDAQ:OUST) shares traded down 17% during trading on Thursday . The stock traded as low as $48.93 and last traded at $49.84. Approximately 9,072,473 shares traded hands during trading, an increase of 183% from the average daily volume of 3,204,787 shares. The stock had previously closed at $60.02.

Ouster News Roundup

Here are the key news stories impacting Ouster this week:

• Positive Sentiment: Ouster’s Rev8 lidar sensors have gained BABA/Buy America compliance, improving access to federally funded U.S. infrastructure projects and strengthening the company’s long-term sales opportunity. Article Title
• Positive Sentiment: Analysts and market commentary have highlighted Ouster’s breakout tied to Physical AI demand, recent partnership wins, and strong year-to-date momentum, helping support the stock’s broader uptrend before today’s selloff. Article Title
• Positive Sentiment: Bullish commentary also points to Ouster’s record revenue growth and debt-free balance sheet as reasons investors have been willing to pay up for the shares. Article Title
• Neutral Sentiment: The company also drew broader attention from robotics investors as part of the sector’s growing “Physical AI” and robotics theme, which may help sentiment but is not a direct company-specific catalyst. Article Title
• Negative Sentiment: Ouster announced pricing for an underwritten offering of 3.62 million shares at $55.22 each, with all shares sold by the company, which can pressure the stock because it raises cash but dilutes existing holders. Article Title
• Negative Sentiment: Market coverage says the discounted share sale sparked a selloff, with traders likely reacting to the near-term supply overhang rather than Ouster’s longer-term fundamentals. Article Title

Analyst Ratings Changes

A number of equities analysts have recently issued reports on the company. Cantor Fitzgerald downgraded Ouster from an “overweight” rating to a “neutral” rating in a research report on Thursday, May 7th. Rosenblatt Securities lifted their price objective on Ouster from $40.00 to $53.00 and gave the company a “buy” rating in a report on Wednesday, May 27th. Roth Mkm started coverage on shares of Ouster in a research note on Friday, May 29th. They issued a “buy” rating and a $75.00 price objective for the company. Finally, Weiss Ratings started coverage on shares of Ouster in a report on Friday, May 15th. They set a “sell (d-)” rating on the stock. Four investment analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the company currently has an average rating of “Hold” and a consensus target price of $48.17.

Ouster Price Performance

The business has a fifty day simple moving average of $37.83 and a two-hundred day simple moving average of $27.46. The company has a market cap of $3.13 billion, a PE ratio of -51.38 and a beta of 3.17.

Ouster (NASDAQ:OUST) last announced its quarterly earnings results on Tuesday, May 5th. The company reported ($0.28) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.12) by ($0.16). The company had revenue of $48.58 million during the quarter, compared to analysts’ expectations of $46.15 million. Ouster had a negative net margin of 30.12% and a negative return on equity of 21.49%. During the same quarter in the prior year, the business posted ($0.42) earnings per share. On average, equities research analysts predict that Ouster, Inc. will post -1.05 EPS for the current year.

Insider Activity at Ouster

In other Ouster news, Director Ted L. Tewksbury III sold 1,695 shares of Ouster stock in a transaction dated Monday, June 22nd. The stock was sold at an average price of $47.00, for a total value of $79,665.00. Following the transaction, the director owned 124,999 shares in the company, valued at $5,874,953. The trade was a 1.34% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Charles Angus Pacala sold 29,797 shares of the business’s stock in a transaction dated Friday, June 12th. The stock was sold at an average price of $38.82, for a total transaction of $1,156,719.54. Following the completion of the transaction, the chief executive officer owned 1,072,201 shares of the company’s stock, valued at $41,622,842.82. This represents a 2.70% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 910,591 shares of company stock valued at $32,578,780 over the last 90 days. Company insiders own 5.72% of the company’s stock.

Institutional Investors Weigh In On Ouster

Several institutional investors have recently bought and sold shares of OUST. Vanguard Group Inc. grew its holdings in Ouster by 11.3% in the third quarter. Vanguard Group Inc. now owns 4,720,264 shares of the company’s stock worth $127,683,000 after purchasing an additional 478,372 shares during the last quarter. Geode Capital Management LLC lifted its holdings in shares of Ouster by 9.1% during the 4th quarter. Geode Capital Management LLC now owns 1,421,130 shares of the company’s stock valued at $30,758,000 after purchasing an additional 118,132 shares during the last quarter. Penn Capital Management Company LLC lifted its holdings in shares of Ouster by 24.1% during the 4th quarter. Penn Capital Management Company LLC now owns 775,297 shares of the company’s stock valued at $16,817,000 after purchasing an additional 150,337 shares during the last quarter. Handelsbanken Fonder AB boosted its position in shares of Ouster by 130.7% in the 4th quarter. Handelsbanken Fonder AB now owns 715,646 shares of the company’s stock worth $15,479,000 after purchasing an additional 405,441 shares in the last quarter. Finally, Invesco Ltd. boosted its position in shares of Ouster by 1,521.8% in the 2nd quarter. Invesco Ltd. now owns 571,662 shares of the company’s stock worth $13,863,000 after purchasing an additional 536,413 shares in the last quarter. 31.45% of the stock is currently owned by institutional investors and hedge funds.

Ouster Company Profile

Ouster, Inc is a leading provider of high-resolution digital lidar sensors, software and services designed to enable advanced perception capabilities across a range of industries. Headquartered in San Francisco, California, the company develops modular lidar solutions that capture precise three-dimensional data in real time, supporting applications from autonomous vehicles and robotics to mapping, smart infrastructure and industrial automation.

The company’s core product lineup features multi-beam digital lidar units available in various form factors, including compact models for robotics and drones and larger units for automotive and mapping systems.