Ouster, Inc. (OUST) Q2 2025 Earnings Call Transcript

Written by Emily J. Thompson, Senior Investment Analyst

OUST.N

25.71

USD

+6.55%

See more details

OUST.N+6.55%

Source: SeekingAlpha

Updated: Aug 07 2025

5mins

Source: SeekingAlpha

Revenue $35 million, a 30% year-over-year increase. The growth was driven by record sensor shipments and strong performance in industrial and automotive verticals.

Gross Margin 45%, an 11-point increase year-over-year. This improvement was attributed to higher revenue, product mix, and a favorable employment tax refund, which contributed approximately 5 points.

Operating Expenses $43 million, a 24% year-over-year increase. The rise was primarily due to higher stock-based compensation and litigation expenses.

Cash and Equivalents $229 million, with no debt. This reflects a strong balance sheet, including $59 million of net proceeds from ATM.

Sensor Shipments 5,500 units, a record number for the quarter, contributing to the revenue growth.

OUST.N

$25.710+211.259%Past 6 months

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Intellectia

Analyst Views on OUST

Wall Street analysts forecast OUST stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for OUST is 35.67 USD with a low forecast of 30.00 USD and a high forecast of 50.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

6 Analyst Rating

5 Buy

1 Hold

0 Sell

Strong Buy

Current: 24.130

Low

30.00

Averages

35.67

High

50.00

Current: 24.130

Low

30.00

Averages

35.67

High

50.00

Cantor Fitzgerald

Neutral -> Overweight

upgrade

$30 -> $33

2025-11-06

New

Reason

Cantor Fitzgerald

Price Target

$30 -> $33

2025-11-06

New

upgrade

Neutral -> Overweight

Reason

Cantor Fitzgerald upgraded Ouster to Overweight from Neutral with a price target of $33, up from $30.

Cantor Fitzgerald

Neutral -> Overweight

upgrade

$30 -> $33

2025-11-06

New

Reason

Cantor Fitzgerald

Price Target

$30 -> $33

2025-11-06

New

upgrade

Neutral -> Overweight

Reason

As previously reported, Cantor Fitzgerald upgraded Ouster to Overweight from Neutral with a price target of $33, up from $30, following a Q3 beat that featured the company's higher revenue on record. Ouster's OS1 became the first high-resolution 3D LiDar sensor approved by the Department of Defense, notes the analyst, who views the DOD certification as "a material moat."

Northland

Tim Savageaux

Outperform

maintain

$30 -> $38

2025-11-05

New

Reason

Northland

Tim Savageaux

Price Target

$30 -> $38

2025-11-05

New

maintain

Outperform

Reason

Northland analyst Tim Savageaux raised the firm's price target on Ouster to $38 from $30 and keeps an Outperform rating on the shares following better than expected Q3 revenue and an outlook that represents a step-up in growth. With less than 10% of Ouster's current base of over 1,000 customers in commercial production, the firm sees "significant growth opportunities" supporting the company's 30%-50% annual growth target, the analyst tells investors.

WestPark Capital

Hold

Buy

upgrade

2025-08-13

Reason

WestPark Capital

Price Target

2025-08-13

upgrade

Hold

Buy

Reason

WestPark Capital upgraded Ouster to Buy from Hold following the company's "strong" Q2 report. The firm believes the company's LiDAR opportunities are expanding to defense and durable goods such as lawn movers. It cites Ouster's expanding market for the upgrade.

See All Ratings

About OUST

Ouster, Inc. is a provider of high-resolution scanning and solid-state lidar sensors and software solutions for the automotive, industrial, robotics, and smart infrastructure industries. Its products include high-resolution scanning and solid-state digital lidar sensors, analog lidar sensors, and software solutions. It offers high-resolution digital lidar sensors that offer advanced three-dimensional (3D) vision to machinery, vehicles, robots, and fixed infrastructure assets, which allows each to understand and visualize the surrounding world and enable safe operation and autonomy. It also offers perception software platforms for smart infrastructure deployments. Its digital lidar sensors leverage a simplified architecture based on over two semiconductor chips. Its software enables real-time people and object detection, classification, and tracking for actionable, intuitive, and customizable insights while preserving personally identifiable information.

About the author

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Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.