Veritone (VERI) AI Stock Analysis

• Market Cap: $401.19M
• Dividend Yield: N/A
• Average Volume (3M): 2.43M
• Price to Earnings (P/E): ―
• Beta (1Y): 3.02
• Revenue Growth: -17.50%
• EPS Growth: -51.25%
• Country: US
• Employees: 469
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): -0.09
• Shares Outstanding: 91,806,020
• 10 Day Avg. Volume: 1,808,802
• 30 Day Avg. Volume: 2,427,960
• PEG Ratio: 0.09
• Price to Book (P/B): 9.27
• Price to Sales (P/S): 1.35
• P/FCF Ratio: -4.05
• Enterprise Value/Market Cap: 0.97
• Enterprise Value/Revenue: 3.98
• Enterprise Value/Gross Profit: 6.49
• Enterprise Value/Ebitda: -7.37
• 1Y Price Target: $8.33
• Price Target Upside: 90.69% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 3
• EPS Forecast (FY): -0.26
• Revenue Forecast (FY): $129.30M

• Rating: 50 Neutral
• Price Target: $4.50 ▲(2.97% Upside)

Veritone's overall stock score reflects significant financial challenges, including persistent losses and high leverage, which are the most impactful factors. The positive outlook from the earnings call, with revenue growth and debt reduction, provides some optimism. However, valuation concerns and mixed technical signals temper the overall score.

Positive Factors

Recurring subscription and usage-based revenue model

A subscription + pay-per-use model creates recurring revenue and predictable cash flow potential, supporting customer retention and scalable unit economics. For an AI platform serving media, government and enterprises, this structure underpins long-term revenue visibility and up-sell opportunities.

Strong gross margin on product economics

A ~69% gross margin indicates favorable unit economics for the aiWARE platform and services, allowing investment in growth and R&D while offsetting some operating losses. Durable high gross margins are typical for software infrastructure and support longer-term margin improvement as scale increases.

Material debt reduction and capital raises

Substantially lowering fixed debt service materially reduces liquidity stress and interest burden, improving solvency and freeing cash for operations. Coupled with recent equity capital raises, this structurally extends runway and enhances the company's ability to execute strategic initiatives.

Negative Factors

Persistent net losses and negative profit margins

Sustained large net losses (TTM net margin around -42.6%) erode equity and require continual financing or cash burn reduction to reach profitability. Without durable operating profit improvements, the business remains dependent on external capital and vulnerable to margin pressure in downturns.

High leverage on the balance sheet

A debt-to-equity ratio above 6 suggests significant leverage, which amplifies downside risk and can constrain strategic flexibility. Even with recent retirements, elevated leverage increases interest and refinancing vulnerabilities, limiting capacity to invest in growth without further de-risking.

Reliance on equity offerings (dilution risk)

Frequent large equity raises indicate the company relies on capital markets to fund operations and growth. This structural dependence risks shareholder dilution and signals that internal cash generation remains insufficient to fund investments and cover losses without issuing equity.

Veritone Business Overview & Revenue Model

Company Description

Veritone, Inc., together with its subsidiaries, provides artificial intelligence (AI) computing solutions in the United States and the United Kingdom. It develops and operates aiWARE platform, an AI operating system that uses machine learning algorithms or AI models, such as perception, prediction, and problem solving and optimization, as well as cognitive processes, including transcription, language translation, face detection and recognition, object detection and recognition, logo recognition, sentiment analysis, text keyword/topic analysis, audio/video fingerprinting, geolocation, visual moderation, and optical character recognition to reveal valuable insights from vast amounts of structured and unstructured data. The company also provides media advertising agency services, including media planning and strategy, media buying and placement, campaign messaging, clearance verification and attribution, and custom analytics directly to advertisers through outbound sales networking, and client and partner referrals, as well as indirectly through advertising agencies or marketing consultants. It serves media and entertainment, government, legal and compliance, energy, and other vertical markets. The company was formerly known as Veritone Delaware, Inc. and changed its name to Veritone, Inc. in July 2014. Veritone, Inc. was incorporated in 2014 and is headquartered in Denver, Colorado.

How the Company Makes Money

Veritone generates revenue primarily through a subscription-based model and usage-based fees associated with its aiWARE platform. The company offers various services, including AI-driven content management, data analytics, and media monitoring, which are monetized through recurring subscription fees and pay-per-use arrangements. Additionally, Veritone has formed strategic partnerships with companies in the media and technology sectors, which help expand its market reach and enhance its service offerings, further contributing to its revenue streams. The company also earns money through tailored solutions and consulting services, providing customized AI implementations for specific client needs.

Veritone Financial Statement Overview

Summary

Veritone faces significant financial challenges with persistent losses and high leverage. Despite some revenue growth and operational efficiency, the company's profitability and cash flow generation remain concerning. The high debt levels and negative equity returns highlight financial risks that need to be addressed for long-term sustainability.

Income Statement

Veritone's income statement shows a challenging financial position with consistent net losses and negative profit margins. The TTM data indicates a slight revenue growth of 7.79%, but the net profit margin remains negative at -42.60%. The gross profit margin is relatively strong at 68.82%, suggesting some operational efficiency, but the negative EBIT and EBITDA margins highlight ongoing profitability issues.

Balance Sheet

The balance sheet reveals a high debt-to-equity ratio of 6.14, indicating significant leverage and potential financial risk. The return on equity is negative, reflecting the company's inability to generate profit from shareholders' equity. The equity ratio is low, suggesting limited financial stability and a reliance on debt financing.

Cash Flow

Cash flow analysis shows negative operating cash flow, indicating challenges in generating cash from core operations. However, the free cash flow to net income ratio is positive at 1.11, suggesting some ability to cover net losses with free cash flow. The free cash flow growth rate is positive, but the overall cash flow position remains weak.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	98.03M	92.64M	99.99M	149.73M	115.31M	57.71M
Gross Profit	60.09M	65.38M	72.22M	122.30M	93.18M	42.05M
EBITDA	-52.93M	-58.78M	-39.52M	5.16M	-52.02M	-41.27M
Net Income	-41.76M	-37.38M	-58.63M	-25.56M	-64.67M	-47.88M
Balance Sheet
Total Assets	200.22M	198.06M	378.86M	424.75M	518.35M	177.65M
Cash, Cash Equivalents and Short-Term Investments	36.23M	16.91M	46.61M	184.42M	254.72M	114.82M
Total Debt	116.22M	119.90M	142.75M	139.88M	195.08M	0.00
Total Liabilities	184.20M	184.61M	340.71M	344.90M	431.85M	89.44M
Stockholders Equity	16.02M	13.45M	38.15M	79.85M	86.50M	88.21M
Cash Flow
Free Cash Flow	-46.16M	-30.82M	-81.54M	-1.03M	6.22M	1.26M
Operating Cash Flow	-41.66M	-24.72M	-76.42M	3.74M	7.23M	1.43M
Investing Cash Flow	-1.81M	-1.61M	-54.88M	-12.10M	-53.84M	-119.00K
Financing Cash Flow	33.71M	-37.06M	26.33M	-61.93M	186.51M	69.44M

Veritone Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.37
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VERI, the sentiment is Negative. The current price of 4.37 is below the 20-day moving average (MA) of 4.83, below the 50-day MA of 4.96, and above the 200-day MA of 3.45, indicating a neutral trend. The MACD of -0.15 indicates Positive momentum. The RSI at 37.22 is Neutral, neither overbought nor oversold. The STOCH value of 15.21 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for VERI.

Veritone Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
LSAK	56 Neutral	$392.68M	-4.31	-32.28%	―	16.48%	-326.01%
DFDV	56 Neutral	$233.19M	3.18	56.66%	―	313.35%	―
VERI	50 Neutral	$401.19M	-1.95	―	―	-17.50%	-51.25%
GRRR	48 Neutral	$319.41M	―	―	―	―	―
RXT	47 Neutral	$242.15M	-0.90	―	―	-2.98%	69.09%
PDYN	41 Neutral	$295.31M	-3.99	-110.11%	―	-44.07%	25.75%

Veritone Corporate Events

Veritone Announces Full Repayment of Term Loan

On November 6, 2025, Veritone, Inc. announced its intention to repay in full its outstanding Term Loan Facility by November 12, 2025, totaling $36.7 million. This repayment will terminate the company’s obligations under the facility. Additionally, Veritone entered into agreements to repurchase approximately 50% of its outstanding 1.75% Convertible Senior Notes due 2026, amounting to $45.7 million. The repurchase involves cash and the issuance of common stock, potentially impacting the company’s stock market price.

The most recent analyst rating on (VERI) stock is a Hold with a $7.00 price target. To see the full list of analyst forecasts on Veritone stock, see the VERI Stock Forecast page.

Veritone Announces Direct Offering of Common Stock

Veritone, Inc. announced a registered direct offering of 12,864,494 shares of its common stock to purchasers as per a securities purchase agreement dated October 15, 2025. This offering was conducted under the company’s effective registration statement filed with the SEC in June 2024, potentially impacting its market operations and stakeholder interests.

The most recent analyst rating on (VERI) stock is a Buy with a $6.00 price target. To see the full list of analyst forecasts on Veritone stock, see the VERI Stock Forecast page.