Weave Communications (NYSE:WEAV) Posts Quarterly Earnings Results, Meets Estimates

Weave Communications (NYSE:WEAV) released its quarterly earnings data on Thursday. The company reported $0.03 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $0.03, FiscalAI reports. The company had revenue of $63.40 million for the quarter, compared to analysts’ expectations of $63.19 million. Weave Communications had a negative net margin of 11.74% and a negative return on equity of 33.83%.

Here are the key takeaways from Weave Communications’ conference call:

• Q4 revenue was $63.4M (+17% YoY) with a record gross margin of 73.3% and operating income of $2.3M; full‑year revenue was $239M and free cash flow grew 24%, signaling profitable scaling.
• 2026 guidance calls for Q1 revenue of $64.2M–$64.8M, full‑year revenue of $273M–$276M, and non‑GAAP operating income of $8M–$12M, with management forecasting margin improvement as 2025 investments start to pay off.
• The TrueLark acquisition expanded Weave’s TAM by roughly $7B to $22B, and an omni‑channel AI receptionist (text + voice) is slated for GA in H1 2026 with more autonomous intake and payments planned for H2 2026 to deepen practice dependency and upsell potential.
• Payments momentum remains strong—payments grew at more than twice the company’s revenue growth in 2025, surcharging and new collection tools are driving volume, and a new CareCredit partnership aims to add patient financing and increase payments attach rates.
• Retention is a mixed signal: net revenue retention was 93% and gross retention 89% (management expects gross to trend toward 91%–93%), noting higher churn and lower ASP in newer verticals and that two‑thirds of customers are single‑location, which can limit near‑term NRR expansion.

Weave Communications Stock Down 4.5%

WEAV opened at $5.45 on Friday. Weave Communications has a twelve month low of $5.15 and a twelve month high of $15.71. The company’s 50-day moving average price is $6.69 and its two-hundred day moving average price is $6.90. The stock has a market cap of $424.87 million, a price-to-earnings ratio of -15.13 and a beta of 1.69. The company has a quick ratio of 1.24, a current ratio of 1.24 and a debt-to-equity ratio of 0.08.

Trending Headlines about Weave Communications

Here are the key news stories impacting Weave Communications this week:

• Positive Sentiment: Q4 results: EPS met consensus and revenue slightly beat estimates, signaling stable execution and revenue growth. Business Wire: Q4 Results
• Positive Sentiment: Company raised FY‑2026 revenue target to $273M–$276M and emphasized accelerating AI platform expansion and record gross margins/operating income — positive for longer‑term revenue mix and margin outlook. MSN: Revenue Target & AI Expansion
• Neutral Sentiment: Q1 and FY revenue guidance roughly in line with Street consensus (Q1: $64.2M–$64.8M; FY: $273M–$276M) — guidance reduces upside surprise risk but does not materially change near‑term expectations. Yahoo Finance: Earnings Call Summary
• Neutral Sentiment: Full earnings materials and call transcript are available for investors to review management commentary and slide details (useful for judging AI cadence and margin drivers). Seeking Alpha: Call Transcript
• Negative Sentiment: Analyst price‑target cuts: Stifel lowered its PT from $11 to $9 (still a Buy) and Piper Sandler cut from $12 to $8 (still Overweight) — trims upside expectations and likely pressured the stock despite positive ratings. TickerReport / Benzinga: Stifel PT Cut StreetInsider: Piper Sandler PT Cut
• Negative Sentiment: Still unprofitable on a GAAP basis: negative net margin (~‑14%) and negative return on equity remain investor concerns for sustainable profitability despite margin improvements. Zacks: Earnings Match & Metrics

Analyst Ratings Changes

A number of equities analysts have issued reports on WEAV shares. Raymond James Financial downgraded Weave Communications from a “strong-buy” rating to a “moderate buy” rating in a research note on Tuesday, January 6th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Weave Communications in a research report on Monday, December 29th. Piper Sandler lowered their price target on Weave Communications from $12.00 to $8.00 and set an “overweight” rating for the company in a research report on Friday. Stifel Nicolaus dropped their price objective on Weave Communications from $11.00 to $9.00 and set a “buy” rating on the stock in a research note on Friday. Finally, Citigroup reduced their target price on shares of Weave Communications from $9.00 to $8.00 and set a “neutral” rating for the company in a research note on Monday, November 3rd. Three analysts have rated the stock with a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus price target of $10.00.

Insider Activity at Weave Communications

In related news, insider Erin Goodsell sold 9,615 shares of Weave Communications stock in a transaction that occurred on Monday, December 22nd. The shares were sold at an average price of $6.89, for a total value of $66,247.35. Following the sale, the insider owned 527,055 shares of the company’s stock, valued at approximately $3,631,408.95. The trade was a 1.79% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Company insiders own 18.40% of the company’s stock.

Institutional Trading of Weave Communications

Large investors have recently bought and sold shares of the company. Amundi lifted its position in shares of Weave Communications by 27.1% during the 1st quarter. Amundi now owns 5,301 shares of the company’s stock valued at $59,000 after buying an additional 1,130 shares during the last quarter. Tower Research Capital LLC TRC raised its stake in Weave Communications by 119.7% in the 2nd quarter. Tower Research Capital LLC TRC now owns 8,683 shares of the company’s stock valued at $72,000 after acquiring an additional 4,731 shares during the period. RPO LLC bought a new stake in Weave Communications in the 4th quarter valued at about $81,000. Schonfeld Strategic Advisors LLC purchased a new stake in Weave Communications during the fourth quarter valued at about $84,000. Finally, Stoic Point Capital Management LLC bought a new position in Weave Communications during the fourth quarter worth about $87,000. 86.83% of the stock is owned by hedge funds and other institutional investors.

About Weave Communications

Weave Communications is a technology company that provides integrated communications and customer management solutions tailored for small- to medium-sized local businesses. Headquartered in Lehi, Utah, the company developed a cloud-based platform that unifies voice calling, business texting, appointment reminders and payment processing within a single interface.

The platform’s core offerings include a unified business phone system, two-way texting, automated appointment and recall reminders, secure payment acceptance and a basic customer relationship management module.