Liveperson (LPSN)
NASDAQ:LPSN
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Liveperson
(NASDAQ:LPSN)
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Rating:48Neutral
Price Target:
$2.00
▼(-39.02% Downside)
Action:Reiterated
Date:05/09/26
The score is held down primarily by weak financial performance (multi-year revenue contraction, ongoing losses, negative cash flow, and a pressured balance sheet with negative equity) and bearish technicals (price below key moving averages with negative MACD). Offsetting these are modest positives from the earnings update (profitability improvements and product/partner traction despite declining 2026 revenue guidance) and a potentially value-supportive corporate event via the pending acquisition and debt restructuring.
Positive Factors
High recurring revenue mix
A very high and growing recurring revenue mix (89% in Q4, ~92% expected) supports predictable, contract-driven cash flows and customer stickiness. That subscription tilt improves revenue durability, simplifies forecasting and raises the long-term value of customer relationships vs. transactional models.
Negative Factors
Negative equity and leveraged balance sheet
A persistent equity deficit and elevated debt leave limited financial cushion and constrain strategic options. Negative equity undermines borrowing capacity, raises counterparty concerns, and means operating setbacks could quickly pressure liquidity or require dilutive financing absent structural fixes.
Read all positive and negative factors
Positive Factors
Negative Factors
High recurring revenue mix
A very high and growing recurring revenue mix (89% in Q4, ~92% expected) supports predictable, contract-driven cash flows and customer stickiness. That subscription tilt improves revenue durability, simplifies forecasting and raises the long-term value of customer relationships vs. transactional models.
Read all positive factors
Liveperson (LPSN) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$27.03M
Dividend YieldN/A
Average Volume (3M)407.39K
Price to Earnings (P/E)―
Beta (1Y)1.75
Revenue Growth-19.19%
EPS Growth67.48%
CountryUS
Employees928
SectorTechnology
Sector Strength88
IndustrySoftware - Application
Share Statistics
EPS (TTM)-6.17
Shares Outstanding12,176,027
10 Day Avg. Volume553,535
30 Day Avg. Volume407,389
Financial Highlights & Ratios
PEG Ratio<0.01
Price to Book (P/B)-0.68
Price to Sales (P/S)0.12
P/FCF Ratio-0.71
Enterprise Value/Market Cap11.81
Enterprise Value/Revenue1.35
Enterprise Value/Gross Profit2.17
Enterprise Value/Ebitda9.53
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusHold
Number of Analyst Covering2
EPS Forecast (FY)-5.33
Revenue Forecast (FY)$200.20M
Liveperson Business Overview & Revenue Model
Company Description
LivePerson, Inc., together with its subsidiaries, provides conversational commerce software and Gainshare solutions. It operates in two segments, Business and Consumer. The Business segment enables brands to leverage LiveEngage's intelligence engi...
How the Company Makes Money
LivePerson primarily makes money by selling access to its conversational AI and messaging software platform to business customers on a subscription basis (software-as-a-service). Revenue is generated through recurring fees for platform usage and a...
Liveperson Earnings Call Summary
Earnings Call Date:Mar 12, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Aug 05, 2026
Earnings Call Sentiment Neutral
The call reflects cautious optimism: clear execution wins (Q4 beat, positive adjusted EBITDA, product launch of Syntrix, accelerating AI adoption, meaningful enterprise renewals, and stronger partnerships especially with Google) balanced against material near-term revenue headwinds (hosted and professional services declines, sub-80% net revenue retention trend, RPO declines) and guidance that implies year-over-year revenue pressure in 2026. Management framed 2026 as a transition year with investments to achieve positive net new ARR in H2; upside depends on scaling Syntrix and marketplace motions.Positive Updates
Beat Guidance on Top and Bottom Lines
Q4 revenue of $59.3M came in above the high end of guidance (driven by higher variable revenue). Adjusted EBITDA was $10.8M, also above the high end of guidance, reflecting benefits from the prior restructuring and disciplined cost execution.
Negative Updates
Guidance Implies Year‑over‑Year Revenue Decline
Full-year 2026 revenue guidance of $195M to $207M implies a year-over-year decline (company explicitly said guidance implies Y/Y revenue decline). Q1 2026 revenue guide $53M–$55M implies a sequential decline of about $5M at the midpoint vs Q4.
Read all updates
Q4-2025 Updates
Positive
Negative
Beat Guidance on Top and Bottom Lines
Q4 revenue of $59.3M came in above the high end of guidance (driven by higher variable revenue). Adjusted EBITDA was $10.8M, also above the high end of guidance, reflecting benefits from the prior restructuring and disciplined cost execution.
Read all positive updates
Company Guidance
LivePerson guided full-year 2026 revenue of $195M–$207M (≈92% recurring) with adjusted EBITDA of a loss of $4M to a gain of $7M (and does not expect adjusted EBITDA less CapEx to be positive in 2026); the company expects positive net new ARR in H2 but said prior negative net ARR will cause revenue to decline through the year with the rate of decline flattening in H2. For Q1 2026 it guided revenue of $53M–$55M (roughly a $5M midpoint sequential decline vs Q4’s $59.3M) and adjusted EBITDA of $2M–$5M, expects slightly negative free cash flow, finished Q4 with $95M cash, and noted that Syntrix commercialization and Google Cloud Marketplace represent upside to the guidance.Liveperson Financial Statement Overview
Summary
Income Statement
28
Negative
Balance Sheet
19
Very Negative
Cash Flow
22
Negative
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 236.00M | 243.74M | 312.47M | 401.98M | 514.80M | 469.62M |
| Gross Profit | 147.27M | 174.35M | 192.81M | 231.17M | 303.90M | 293.46M |
| EBITDA | 33.51M | -11.80M | -70.74M | -36.64M | -164.12M | -53.12M |
| Net Income | -61.93M | -67.23M | -134.27M | -100.44M | -225.75M | -124.97M |
Balance Sheet | ||||||
| Total Assets | 457.58M | 454.67M | 607.78M | 835.51M | 1.09B | 1.19B |
| Cash, Cash Equivalents and Short-Term Investments | 101.50M | 95.00M | 183.24M | 212.93M | 391.78M | 521.85M |
| Total Debt | 393.79M | 391.78M | 527.23M | 591.89M | 742.83M | 584.09M |
| Total Liabilities | 509.08M | 499.16M | 675.09M | 787.38M | 1.02B | 837.22M |
| Stockholders Equity | -51.50M | -44.49M | -67.32M | 48.14M | 68.09M | 349.44M |
Cash Flow | ||||||
| Free Cash Flow | -28.77M | -42.52M | -40.27M | -48.42M | -110.59M | -42.46M |
| Operating Cash Flow | -17.80M | -30.43M | -15.13M | -19.77M | -62.10M | 3.25M |
| Investing Cash Flow | -12.50M | -13.73M | -28.22M | -18.84M | -56.86M | -140.25M |
| Financing Cash Flow | -45.48M | -45.50M | 14.97M | -151.14M | 1.62M | 11.84M |
Liveperson Technical Analysis
Neutral
3.28
Price Trends
2.82
Positive
3.46
Negative
7.31
Negative
Market Momentum
0.10
Negative
67.33
Neutral
91.76
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For LPSN, the sentiment is Neutral. The current price of 3.28 is above the 20-day moving average (MA) of 2.75, above the 50-day MA of 2.82, and below the 200-day MA of 7.31, indicating a neutral trend. The MACD of 0.10 indicates Negative momentum. The RSI at 67.33 is Neutral, neither overbought nor oversold. The STOCH value of 91.76 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for LPSN.
Liveperson Risk Analysis
Liveperson disclosed 60 risk factors in its most recent earnings report. Liveperson reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Liveperson Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
69 Neutral | $678.62M | -32.63 | -5.93% | ― | 5.10% | 48.36% | |
67 Neutral | $375.91M | -13.43 | -19.29% | ― | 12.27% | 37.41% | |
66 Neutral | $178.15M | 22.20 | 44.62% | ― | 5.20% | 1319.56% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
48 Neutral | $27.03M | -0.87 | 137.78% | ― | -19.19% | 67.48% | |
48 Neutral | $215.98M | -16.16 | -10.61% | ― | -9.70% | 61.30% |
* Technology Sector Average
LPSN
Liveperson
2.22
-9.59
-81.20%
EGAN
eGain
6.49
1.35
26.26%
SPT
Sprout Social
6.25
-16.89
-72.99%
SMRT
SmartRent
1.12
0.26
30.23%
RSKD
Riskified
4.61
-0.39
-7.80%
Liveperson Corporate Events
Business Operations and StrategyM&A TransactionsPrivate Placements and Financing
LivePerson to Be Acquired by SoundHound AI in Merger
Positive
Apr 21, 2026
On April 21, 2026, LivePerson agreed to be acquired by SoundHound AI in an all-stock merger that will see LivePerson become an indirect wholly owned subsidiary of SoundHound, with its shareholders receiving SoundHound Class A shares based on a for...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.