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

Ouster, Inc. (NASDAQ:OUST)’s stock price fell 17% during trading on Thursday . The company traded as low as $48.93 and last traded at $49.84. Approximately 9,072,473 shares were traded during mid-day trading, an increase of 183% from the average session 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

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

Ouster Trading Down 17.0%

The business’s 50 day moving average is $37.83 and its 200 day moving average is $27.46. The stock has a market capitalization of $3.13 billion, a PE ratio of -51.38 and a beta of 3.17.

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

Insider Transactions at Ouster

In related news, CEO Charles Angus Pacala sold 29,797 shares of the business’s stock in a transaction on 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 in the company, valued at $41,622,842.82. The trade was a 2.70% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CFO Kenneth P. Gianella sold 54,337 shares of the company’s stock in a transaction on Friday, June 12th. The shares were sold at an average price of $38.82, for a total value of $2,109,362.34. Following the completion of the transaction, the chief financial officer directly owned 301,014 shares in the company, valued at $11,685,363.48. This trade represents a 15.29% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders sold 910,591 shares of company stock valued at $32,578,780. Company insiders own 5.72% of the company’s stock.

Institutional Trading of Ouster

A number of large investors have recently made changes to their positions in the stock. SG Americas Securities LLC boosted its position in Ouster by 43.2% in the 4th quarter. SG Americas Securities LLC now owns 276,578 shares of the company’s stock valued at $5,985,000 after buying an additional 83,448 shares during the period. JPMorgan Chase & Co. increased its position in shares of Ouster by 514.6% during the third quarter. JPMorgan Chase & Co. now owns 185,198 shares of the company’s stock worth $5,010,000 after acquiring an additional 155,063 shares during the period. Algert Global LLC raised its stake in shares of Ouster by 192.6% during the third quarter. Algert Global LLC now owns 500,902 shares of the company’s stock valued at $13,549,000 after acquiring an additional 329,735 shares in the last quarter. Vanguard Group Inc. raised its stake in shares of Ouster by 11.3% during the third quarter. Vanguard Group Inc. now owns 4,720,264 shares of the company’s stock valued at $127,683,000 after acquiring an additional 478,372 shares in the last quarter. Finally, UBS Group AG boosted its holdings in shares of Ouster by 67.7% in the fourth quarter. UBS Group AG now owns 301,469 shares of the company’s stock valued at $6,524,000 after purchasing an additional 121,708 shares during the period. 31.45% of the stock is owned by hedge funds and other institutional investors.

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.