Ouster (OUST) AI Stock Analysis

• Market Cap: $1.40B
• Dividend Yield: N/A
• Average Volume (3M): 1.81M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.40
• Revenue Growth: 30.20%
• EPS Growth: 35.80%
• Country: US
• Employees: 292
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 0.20
• Shares Outstanding: 62,803,990
• 10 Day Avg. Volume: 2,382,249
• 30 Day Avg. Volume: 1,810,543
• PEG Ratio: 0.42
• Price to Book (P/B): 4.66
• Price to Sales (P/S): 7.20
• P/FCF Ratio: -18.80
• Enterprise Value/Market Cap: 1.07
• Enterprise Value/Revenue: 8.88
• Enterprise Value/Gross Profit: 18.03
• Enterprise Value/Ebitda: -29.83
• 1Y Price Target: $38.75
• Price Target Upside: 73.22% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): -0.42
• Revenue Forecast (FY): $200.97M

• Rating: 47 Neutral
• Price Target: $21.50 ▼(-3.89% Downside)
• Action: Reiterated Date: 03/04/26
• Date: Action: Reiterated 03/04/26

The score is primarily held back by continued losses and negative/free-cash-flow burn despite clear improvement in revenue growth and gross margins. Technical signals are weak-to-neutral, and valuation is constrained by negative earnings and no dividend support. Offsetting factors include positive execution commentary and guidance on the earnings call plus strategic upside from the StereoLabs acquisition, though near-term comparisons face reduced royalty benefits and higher integration expenses.

Positive Factors

Revenue and Margin Expansion

Sustained double-digit revenue growth and a meaningful gross-margin expansion indicate improving unit economics and stronger product pricing/cost structure. These trends support durable operating leverage as volumes scale, making path to long-term profitability more attainable even after transient royalty boosts.

Product Momentum and Bookings

Consistent record shipments, rising bookings and a book-to-bill above 1.0 demonstrate sustained commercial traction and repeat demand across end markets. This durable demand visibility supports predictable revenue growth and scale benefits for manufacturing, R&D amortization, and go-to-market investments.

Strategic Acquisition Broadens Platform

Acquiring StereoLabs creates an integrated sensing/perception offering combining lidar, cameras and AI software, widening the addressable market and complementing hardware sales with software/compute. The deal adds an EBITDA-positive revenue stream, supporting margin improvement and platform stickiness over time.

Negative Factors

Persistent Cash Burn

Negative operating and free cash flow indicate the business still requires external cash to fund growth and investments. Continued cash burn increases financing risk, could constrain strategic flexibility, and extends the timeline before self-funded scaling, making run-rate improvements critical to long-term stability.

Profitability Still Reliant on One-Time Royalties

Material near-term margin and EBITDA gains were partly driven by one-time royalty recognition. With royalties set to drop materially, sustainable profitability will depend on core product margins, StereoLabs integration, and continued revenue growth—raising execution risk if product margin trends falter.

Near-Term OpEx Pressure from Integration

Planned OpEx increases to absorb acquisition integration and scale activities will pressure near-term profitability and cash flow. Realizing synergies from StereoLabs may take quarters, so elevated operating costs could delay breakeven and require sustained revenue acceleration to offset the higher cost base.

Ouster Business Overview & Revenue Model

Company Description

Ouster, Inc. designs and manufactures high-resolution digital lidar sensors and enabling software that offers 3D vision to machinery, vehicles, robots, and fixed infrastructure assets. Its product portfolio includes OS, a scanning sensor and DF, a true solid-state flash sensor. The company is based in San Francisco, California.

How the Company Makes Money

Ouster generates revenue primarily through the sale of its lidar sensors and associated technologies. The company has established multiple key revenue streams, including direct sales to original equipment manufacturers (OEMs) in the automotive sector, partnerships with robotics and industrial companies, and subscription services for software that enhances the functionality of its lidar products. Additionally, Ouster's strategic collaborations with major players in the automotive and tech industries further bolster its market presence and contribute to its earnings. The company’s focus on scaling production and reducing costs is also aimed at increasing profitability as demand for lidar technology grows.

Ouster Financial Statement Overview

Summary

Strong and accelerating revenue growth and sharp gross-margin expansion are improving the income statement, and leverage is low with a solid equity base. However, the company remains meaningfully unprofitable and cash flow is a key constraint, with operating cash flow still negative and free cash flow burn worsening in 2025.

Income Statement

Revenue growth is strong and accelerating, with sales rising to $169.4M in 2025 (+23% YoY) from $111.1M in 2024 and $83.3M in 2023. Profitability is improving meaningfully: gross margin expanded to ~49% in 2025 (vs. ~36% in 2024 and ~12% in 2023), and net losses narrowed to -$60.4M in 2025 (net margin ~-36%) from -$97.0M in 2024 (net margin ~-87%). The key weakness remains that the company is still operating at a significant loss (negative operating earnings and negative EBITDA margin in 2025), so the business model has not yet reached sustained profitability.

Balance Sheet

Leverage looks manageable: total debt is low at $17.1M in 2025 and debt-to-equity is modest (~0.07), improved from higher leverage in 2022–2023. The balance sheet is supported by a sizable equity base ($261.7M in 2025) and asset growth to $349.5M. The main concern is ongoing losses pressuring shareholder returns, with return on equity still negative in 2025 (~-23%), indicating the company is consuming equity value rather than compounding it.

Cash Flow

Cash generation remains a weak spot: operating cash flow was -$40.0M in 2025 and free cash flow was -$64.8M, indicating continued cash burn despite improving earnings. Free cash flow deterioration versus 2024 (from -$37.5M to -$64.8M) suggests higher investment or working-capital needs as the business scales. A positive offset is that losses are narrowing and cash burn is far better than 2022–2023 levels, but the company is not yet self-funding from operations.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	169.38M	111.10M	83.28M	41.03M	33.58M
Gross Profit	83.44M	40.46M	9.68M	10.93M	9.09M
EBITDA	-50.42M	-79.94M	-342.62M	-123.38M	-88.69M
Net Income	-60.38M	-97.05M	-374.11M	-138.56M	-93.98M
Balance Sheet
Total Assets	349.52M	276.15M	330.74M	256.14M	307.70M
Cash, Cash Equivalents and Short-Term Investments	208.59M	172.02M	190.15M	122.93M	183.62M
Total Debt	17.08M	20.25M	69.90M	56.20M	19.27M
Total Liabilities	87.78M	95.24M	151.07M	84.52M	47.00M
Stockholders Equity	261.74M	180.91M	179.67M	171.62M	260.70M
Cash Flow
Free Cash Flow	-64.85M	-37.45M	-140.90M	-116.11M	-74.84M
Operating Cash Flow	-39.96M	-33.69M	-137.89M	-110.69M	-70.56M
Investing Cash Flow	-36.25M	14.65M	50.60M	-5.15M	-15.23M
Financing Cash Flow	97.61M	15.39M	15.66M	55.60M	257.80M

Ouster Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 22.37
• 50DMA: Positive
• 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 OUST, the sentiment is Positive. The current price of 22.37 is above the 20-day moving average (MA) of 19.73, above the 50-day MA of 22.17, and below the 200-day MA of 24.74, indicating a neutral trend. The MACD of -0.06 indicates Negative momentum. The RSI at 56.84 is Neutral, neither overbought nor oversold. The STOCH value of 54.33 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for OUST.

Ouster Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VICR	77 Outperform	$7.98B	41.35	18.74%	―	11.55%	1745.46%
BELFA	76 Outperform	$2.47B	5.83	16.40%	0.15%	23.70%	14.78%
ROG	68 Neutral	$1.88B	-27.26	-5.07%	―	-4.87%	-235.48%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
PENG	58 Neutral	$977.09M	53.09	4.25%	―	10.76%	―
OUST	47 Neutral	$1.40B	-20.19	-26.89%	―	30.20%	35.80%
MVIS	43 Neutral	$170.27M	-2.38	-137.37%	―	-67.66%	13.39%

Ouster Corporate Events

Ouster Completes StereoLabs Acquisition, Expands Physical AI Platform

On February 4, 2026, Ouster closed its acquisition of StereoLabs SAS, a French pioneer in AI vision and perception solutions founded in 2010, and announced the deal on February 9, 2026. StereoLabs, which has shipped more than 90,000 ZED cameras to over 10,000 customers and generated about $16 million in unaudited 2025 revenue, will operate as a wholly owned subsidiary with its co-founders remaining in leadership roles.

The roughly $35 million cash-and-stock transaction creates what Ouster calls Physical AI’s first unified sensing and perception platform, combining its digital lidar with StereoLabs’ stereo cameras, AI vision software and large developer community. Management says the deal broadens Ouster’s total addressable market in robotics, industrial automation and smart infrastructure while adding a high-growth, EBITDA-positive business that supports its path toward profitability and strengthens its positioning as an end-to-end provider for real-world autonomy.

The most recent analyst rating on (OUST) stock is a Hold with a $24.00 price target. To see the full list of analyst forecasts on Ouster stock, see the OUST Stock Forecast page.

Ouster Amends San Francisco Headquarters Lease for 2034

On December 17, 2025, Ouster, Inc. amended its lease agreement for its San Francisco, California headquarters, extending the lease term to August 31, 2034. The amendment also reduces the initial annual base rent to $50.00 per rental square foot starting January 1, 2026, with scheduled annual adjustments thereafter, a move that may lower near-term occupancy costs and provide longer-term operational stability for the company’s headquarters footprint.

The most recent analyst rating on (OUST) stock is a Buy with a $38.00 price target. To see the full list of analyst forecasts on Ouster stock, see the OUST Stock Forecast page.

Ouster Appoints Phillip Eyler to Board of Directors

On December 8, 2025, Ouster, Inc. announced the election of Phillip Eyler to its Board of Directors, where he will also serve on the Compensation Committee. This appointment is part of Ouster’s ongoing efforts to strengthen its leadership team and enhance its governance structure.

The most recent analyst rating on (OUST) stock is a Buy with a $38.00 price target. To see the full list of analyst forecasts on Ouster stock, see the OUST Stock Forecast page.