Veritone (NASDAQ:VERI) Issues Earnings Results, Meets Expectations

Veritone (NASDAQ:VERI) issued its quarterly earnings data on Thursday. The company reported ($0.11) EPS for the quarter, meeting analysts’ consensus estimates of ($0.11), reports. The firm had revenue of $24.26 million for the quarter, compared to analysts’ expectations of $28.29 million. Veritone had a negative net margin of 112.56% and a negative return on equity of 152.75%.

Here are the key takeaways from Veritone’s conference call:

• Fiscal 2026 guidance was reduced: Revenue is now expected at $100 million–$150 million, while public-sector growth will be more modest and Broadbean revenue is expected to decline amid a difficult hiring market. Management cited delayed Department of Defense funding and slower timing for certain VDR deals.
• Veritone Data Refinery remains the primary growth catalyst: The company reported more than $65 million in near-term VDR pipeline, including over $15 million that could close in Q3 or Q4, with individual orders potentially reaching the high six figures to millions of dollars.
• Cost reductions are progressing: Veritone has implemented approximately $11.3 million in annualized savings and is targeting $15 million–$20 million by year-end 2026, supporting a goal of non-GAAP operating break-even in the first half of 2027 if revenue reaches roughly $125 million–$130 million.
• Profitability and liquidity remain pressured: Q2 revenue rose 5% year over year to $24.3 million, but non-GAAP net loss widened to $9.95 million and cash declined to $12.7 million at quarter-end. The company also has approximately $45 million of debt and is negotiating a potential restructuring with debt holders.
• Public-sector and commercial wins expanded the opportunity: Veritone secured contracts including a multi-year California Highway Patrol redaction agreement and continued international and federal expansion, while commercial enterprise executed 232 agreements and Broadbean closed 76 new business wins in Q2.

Veritone Price Performance

NASDAQ:VERI opened at $1.15 on Friday. The firm has a market cap of $106.89 million, a PE ratio of -2.50 and a beta of 2.29. The firm has a 50 day simple moving average of $1.28 and a 200-day simple moving average of $2.10. Veritone has a 1-year low of $0.98 and a 1-year high of $9.42.

Institutional Trading of Veritone

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Vanguard Group Inc. lifted its stake in shares of Veritone by 63.1% during the 3rd quarter. Vanguard Group Inc. now owns 2,754,165 shares of the company’s stock worth $13,275,000 after purchasing an additional 1,065,460 shares during the period. Cooper Creek Partners Management LLC purchased a new stake in shares of Veritone in the third quarter valued at $11,718,000. Marshall Wace LLP increased its stake in Veritone by 16,314.3% in the third quarter. Marshall Wace LLP now owns 1,676,397 shares of the company’s stock valued at $8,080,000 after purchasing an additional 1,666,184 shares during the last quarter. Geode Capital Management LLC increased its stake in Veritone by 81.4% in the fourth quarter. Geode Capital Management LLC now owns 984,749 shares of the company’s stock valued at $4,581,000 after purchasing an additional 441,875 shares during the last quarter. Finally, Goldman Sachs Group Inc. lifted its position in Veritone by 106.4% during the fourth quarter. Goldman Sachs Group Inc. now owns 669,515 shares of the company’s stock worth $3,113,000 after buying an additional 345,178 shares during the period. 39.18% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

Several analysts have recently commented on the stock. Needham & Company LLC lowered their price target on shares of Veritone to $5.00 and set a “buy” rating on the stock in a research report on Friday. Weiss Ratings upgraded Veritone from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Tuesday. Wall Street Zen raised Veritone from a “strong sell” rating to a “sell” rating in a research note on Saturday, August 1st. Finally, UBS Group began coverage on Veritone in a report on Monday, June 1st. They set a “neutral” rating and a $2.50 target price on the stock. Three analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, Veritone has an average rating of “Hold” and an average price target of $6.12.

Veritone Company Profile

Veritone, Inc (NASDAQ: VERI) is a technology company specializing in artificial intelligence solutions for media, legal, government and enterprise applications. Its flagship offering, aiWARE™, is a cloud-based operating system that orchestrates and automates an ecosystem of machine learning models to transform unstructured data—such as audio, video and text—into actionable intelligence. By providing a modular AI environment, Veritone enables organizations to deploy, manage and scale cognitive engines that address diverse use cases from transcription and translation to sentiment analysis and facial recognition.

Through aiWARE and its suite of purpose-built applications, the company delivers turnkey solutions for content licensing, media monitoring, eDiscovery, compliance and public safety.