NICE (NICE) AI Stock Analysis

• Market Cap: $8.12B
• Dividend Yield: N/A
• Average Volume (3M): 508.84K
• Price to Earnings (P/E): 15.4
• Beta (1Y): 1.30
• Revenue Growth: 11.72%
• EPS Growth: 37.05%
• Country: US
• Employees: 8,726
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 3.01
• Shares Outstanding: 61,743,477
• 10 Day Avg. Volume: 454,921
• 30 Day Avg. Volume: 508,838
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.18
• Enterprise Value/Revenue: 3.38
• Enterprise Value/Gross Profit: 5.04
• Enterprise Value/Ebitda: 12.11
• 1Y Price Target: $201.56
• Price Target Upside: 55.84% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 11
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: $145.00 ▲(12.11% Upside)

NICE's overall stock score is driven by strong earnings performance and strategic growth in AI and international markets. Financial stability is supported by a solid balance sheet, but technical indicators suggest bearish momentum. Valuation is reasonable, though the lack of a dividend yield may deter some investors.

Positive Factors

AI and Self-Service Growth

The significant growth in AI and self-service indicates strong demand for automation solutions, enhancing NICE's competitive edge and long-term revenue potential.

Strategic Partnerships

Strategic partnerships with leading tech firms enhance NICE's market reach and integration capabilities, supporting sustainable growth and innovation.

Acquisition of Cognigy

The acquisition of Cognigy bolsters NICE's AI offerings, positioning it as a leader in AI-driven customer experiences, which is crucial for future growth.

Negative Factors

Cloud Gross Margin Decline

The decline in cloud gross margins could pressure profitability, impacting NICE's ability to invest in growth and maintain competitive pricing.

LiveVox Performance Issues

Underperformance in LiveVox may affect overall cloud growth, highlighting potential challenges in product integration or market fit.

Free Cash Flow Decline

A decline in free cash flow growth could limit NICE's ability to fund new initiatives or manage debt, impacting long-term financial flexibility.

NICE Business Overview & Revenue Model

Company Description

NICE Ltd., together with its subsidiaries, provides cloud platforms for AI-driven digital business solutions worldwide. It offers CXone, a cloud native open platform that supports contact centers ranging from small single sites to distributed remote agents and enterprises; Enlighten, an AI engine for CX that discovers automation opportunities for self-service; digital-entry points solutions that enable organizations to address consumers' needs; and journey orchestration solutions that empower organizations to connect and route customers to deal with the customer's request, and connecting them using real time AI-based routing. The company also provides smart self service solutions that empower organizations to build intelligent automated conversations based on data; and prepared agent solutions and tools enable contact center agents to guide and alert them in real time so they can provide resolutions; complete performance solutions that help organizations to record structured and unstructured customer interaction and transaction data; and NICE Evidencentral, an digital evidence management platform for public safety emergency communications, law enforcement, and criminal justice helps agencies. In addition, it offers X-Sight, is an open and flexible AI-cloud platform for financial crime and compliance; Xceed, a cloud platform for comprehensive AML and fraud prevention for small and mid-sized organizations; data intelligence solutions that enable organizations to turn raw data into comprehensive actionable intelligence to prevent and detect financial crimes; AI and analytics technologies to detect and prevent financial crimes in real-time; money laundering and fraud prevention solutions that help organizations adhere to capital markets compliance and anti-money laundering compliance regulations; intelligent investigations solutions; and self-service solutions that provide organizations with customization and self-development capabilities. The company was formerly known as NICE-Systems Ltd. and changed its name to NICE Ltd. in June 2016. NICE Ltd. was founded in 1986 and is based in Ra'anana, Israel.

How the Company Makes Money

NICE generates revenue through a diversified model that includes software licensing, subscription services, and professional services. The company offers a range of products under its NICE CXone platform, which provides cloud-based customer engagement solutions, primarily on a subscription basis, allowing for recurring revenue streams. Additionally, NICE earns from software licenses for on-premises installations and from professional services that include implementation, training, and consulting. Significant partnerships with cloud service providers and integrations with leading CRM systems enhance their market reach and contribute to revenue growth. Furthermore, NICE has been actively expanding its product offerings and entering new markets, which supports its earnings potential.

NICE Financial Statement Overview

Summary

NICE demonstrates strong financial performance with excellent profitability and operational efficiency. The company maintains a solid balance sheet with conservative leverage and a strong equity position. Cash flow generation is robust, although slightly declining, yet indicates sufficient liquidity. Overall, NICE is well-positioned for sustainable growth and financial stability.

Income Statement

NICE demonstrates strong profitability with a consistent increase in revenue over the years. The TTM gross profit margin stands at 66.88% and net profit margin at 16.77%, indicating efficient cost management and robust profitability. The revenue growth rate from the last annual report to the TTM is healthy at 1.49%. The EBIT and EBITDA margins are also strong at 20.62% and 27.73%, respectively, signaling excellent operational efficiency.

Balance Sheet

The balance sheet reflects a solid financial position with a low debt-to-equity ratio of 0.15 in the TTM, indicating conservative leverage and financial stability. The return on equity (ROE) is 13.30%, showcasing effective use of equity to generate profits. The equity ratio stands at 66.89%, highlighting a strong equity base relative to assets.

Cash Flow

NICE's cash flow statement reveals a robust free cash flow with a TTM growth rate of -3.54%, which is slightly negative but indicates resilience. The operating cash flow to net income ratio is 1.85, and free cash flow to net income ratio is 1.65, both suggesting strong cash generation capabilities relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.84B	2.74B	2.38B	2.18B	1.92B	1.65B
Gross Profit	1.90B	1.83B	1.61B	1.50B	1.30B	1.09B
EBITDA	791.63M	754.14M	633.23M	511.77M	449.76M	425.79M
Net Income	537.12M	442.59M	338.30M	265.94M	199.22M	196.35M
Balance Sheet
Total Assets	5.31B	5.30B	5.12B	4.86B	4.66B	4.23B
Cash, Cash Equivalents and Short-Term Investments	1.63B	1.62B	1.41B	1.57B	1.42B	1.46B
Total Debt	539.03M	563.60M	782.97M	777.46M	878.52M	795.89M
Total Liabilities	1.58B	1.69B	1.76B	1.80B	1.83B	1.64B
Stockholders Equity	3.73B	3.59B	3.34B	3.04B	2.83B	2.56B
Cash Flow
Free Cash Flow	660.11M	797.68M	477.25M	397.82M	394.61M	417.02M
Operating Cash Flow	754.88M	832.64M	561.43M	479.71M	461.82M	480.31M
Investing Cash Flow	-499.25M	-397.40M	-293.58M	-152.35M	-261.50M	-465.07M
Financing Cash Flow	-463.36M	-456.60M	-290.27M	-164.50M	-261.82M	196.84M

NICE Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 129.34
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For NICE, the sentiment is Negative. The current price of 129.34 is below the 20-day moving average (MA) of 132.90, below the 50-day MA of 139.05, and below the 200-day MA of 153.37, indicating a bearish trend. The MACD of -1.88 indicates Negative momentum. The RSI at 38.16 is Neutral, neither overbought nor oversold. The STOCH value of 25.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for NICE.

NICE Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PEGA	76 Outperform	$10.36B	41.36	51.96%	0.15%	17.00%	120.21%
NICE	73 Outperform	$8.12B	15.38	15.07%	―	11.72%	37.05%
MNDY	73 Outperform	$9.78B	259.94	3.80%	―	30.24%	-6.69%
ESTC	65 Neutral	$9.41B	―	-9.65%	―	17.42%	-228.98%
CVLT	64 Neutral	$5.99B	72.48	32.87%	―	22.02%	-55.25%
GTLB	63 Neutral	$7.76B	―	-0.63%	―	28.97%	98.96%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%

NICE Corporate Events

NICE Ltd. Maintains Leadership in 2025 Gartner Magic Quadrant

NICE Ltd. has been recognized as a Leader in the 2025 Gartner Magic Quadrant for Contact Center as a Service (CCaaS) for the eleventh consecutive year, achieving the highest rating for its Ability to Execute and Completeness of Vision. This recognition is attributed to its CXone Mpower AI platform, which integrates workflow automation, self-service, and AI-powered agent assistance into a scalable ecosystem, enhancing customer experiences. Additionally, NICE announced a partnership with PGA Tour star JJ Spaun as a brand ambassador and appointed Jeff Comstock as President of CX Product & Technology in September 2025.

NICE Ltd. and RingCentral Extend AI Partnership to Enhance Customer Engagement

NICE Ltd. announced an extension of its partnership with RingCentral, Inc., a leader in AI-powered business communications, on August 5, 2025. The renewed collaboration focuses on strengthening integrated AI-powered UCaaS and CCaaS solutions to enhance customer engagement. This partnership, which has been in place since 2015, aims to transform customer and employee experiences by leveraging AI technology. The extension is expected to re-energize the channel partner ecosystem and continue the successful integration of their solutions, benefiting enterprise customers and enhancing the companies’ positions as leaders in their respective fields.

NICE Ltd. Completes Acquisition of Cognigy to Enhance AI Customer Experience

On September 8, 2025, NICE Ltd. announced the completion of its acquisition of Cognigy, a leader in enterprise-grade conversational AI. This acquisition aims to enhance NICE’s AI capabilities by integrating Cognigy’s conversational AI with NICE’s CXone Mpower platform, thereby transforming customer experiences across various touchpoints. The merger of these two AI leaders is expected to accelerate AI adoption in customer experience and provide organizations with more intelligent and seamless customer interactions. This strategic move is anticipated to strengthen NICE’s market position and expand its reach in delivering AI-first customer experiences.

NICE Ltd. Announces 2025 Annual General Meeting

On August 21, 2025, NICE Ltd. announced its 2025 Annual General Meeting of Shareholders, scheduled for September 30, 2025, in Ra’anana, Israel. The meeting will address the election of directors, amendments to the Articles of Association, adoption of an Employee Share Purchase Plan, reappointment of auditors, and discussion of the 2024 financial statements. This meeting is crucial for stakeholders as it involves decisions on corporate governance and strategic initiatives that could influence NICE’s market positioning and operational strategies.

NiCE Reports Strong Q2 2025 Cloud Revenue Growth and Raises EPS Guidance

On August 14, 2025, NiCE reported a 12% year-over-year increase in cloud revenue for the second quarter of 2025, surpassing their revenue guidance. The company also raised its full-year 2025 EPS guidance. This growth is attributed to the rising demand for AI and self-service solutions, with annual recurring revenue in this sector increasing by 42%. NiCE’s strategic focus on AI is set to further strengthen with the planned acquisition of Cognigy, enhancing their capabilities in delivering AI-first customer experiences. The company also reported significant financial growth with a 9% increase in total revenue and a 69% rise in diluted EPS compared to the previous year.

NICE Ltd. Partners with TalkTalk to Transform Customer Experience with AI Platform

In July 2025, NICE Ltd. announced several strategic collaborations and achievements. TalkTalk, a major UK connectivity provider, partnered with NICE to implement the AI-driven CXone Mpower platform to revolutionize its customer service, aiming for faster response times and seamless customer experiences. Additionally, NICE’s Evidencentral platform reached a milestone of supporting over 37 million active criminal cases, highlighting its significant role in the legal sector. These developments underscore NICE’s impact on the telecom and legal industries, enhancing its market positioning and offering stakeholders innovative solutions.