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Veritone Inc (VERI - Free Report) is a Zacks Rank #2 (Buy) that sports an F for Value and C for Growth. As the aggressive growth stock stategist I am always looking for the growth divergence in the Zacks Style Scores. That means I like a stock with a strong growth score and a weak value score. That tells me right away that I am on the right path as value investors and growth investors are looking for different things. The company just reported earnings last week, so let’s take a deeper look at this stock in this Bull of the Day article.
Description
Veritone, Inc. is an artificial intelligence company. It developed the Veritone Platform, which unlocks the power of AI-based cognitive computing to transform and analyze unstructured public and private audio and video data for clients in the media, politics, legal and law enforcement industries. Veritone, Inc. is based in Newport Beach, United States.
Earnings History
When I look at a stock, the first thing I do is look to see if the company is beating the number. This tells me right away where the market’s expectations have been for the company and how management has communicated to the market. A stock that consistently beats has management communicating expectations to Wall Street that can be achieved. That is what you want to see.
For VERI, I see a good history of beating the Zacks Consensus Estimate. There are four beats over the last four quarters.
The average positive earnings surprise over the last fours quarters works out to be 20%, so the beats are pretty small.
Earnings Estimates Revisions
The Zacks Rank tells us which stocks are seeing earnings estimates move higher. For VERI, I see estimates moving higher.
Over the last 90 days, I see a few increases.
This quarter has held still at $0.11.
Next quarter is at $0.03 and that is up from $0.02.
The full year 2021 is holding still at a loss of 23 cents.
Next year has seen an increase from $0.21 to $0.32.
Positive movement in earnings estimates like that is why this stock is a Zacks Rank #2 (Buy).
Valuation
The forward earnings multiple for VERI comes back as an NA on the Zacks site, but in a few short weeks we will have a working forward earnings multuiple. My math works out to see the forward multiple next year at about 85x. That is a stiff multiple, but this is a growth stock and we just saw 44% topline growth. The price to book of 8.5x is right in line for a company in this space. The price to sales of 11x is a little high, but again there is good growth here.
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Bull Of The Day: Veritone (VERI)
Veritone Inc (VERI - Free Report) is a Zacks Rank #2 (Buy) that sports an F for Value and C for Growth. As the aggressive growth stock stategist I am always looking for the growth divergence in the Zacks Style Scores. That means I like a stock with a strong growth score and a weak value score. That tells me right away that I am on the right path as value investors and growth investors are looking for different things. The company just reported earnings last week, so let’s take a deeper look at this stock in this Bull of the Day article.
Description
Veritone, Inc. is an artificial intelligence company. It developed the Veritone Platform, which unlocks the power of AI-based cognitive computing to transform and analyze unstructured public and private audio and video data for clients in the media, politics, legal and law enforcement industries. Veritone, Inc. is based in Newport Beach, United States.
Earnings History
When I look at a stock, the first thing I do is look to see if the company is beating the number. This tells me right away where the market’s expectations have been for the company and how management has communicated to the market. A stock that consistently beats has management communicating expectations to Wall Street that can be achieved. That is what you want to see.
For VERI, I see a good history of beating the Zacks Consensus Estimate. There are four beats over the last four quarters.
The average positive earnings surprise over the last fours quarters works out to be 20%, so the beats are pretty small.
Earnings Estimates Revisions
The Zacks Rank tells us which stocks are seeing earnings estimates move higher. For VERI, I see estimates moving higher.
Over the last 90 days, I see a few increases.
This quarter has held still at $0.11.
Next quarter is at $0.03 and that is up from $0.02.
The full year 2021 is holding still at a loss of 23 cents.
Next year has seen an increase from $0.21 to $0.32.
Positive movement in earnings estimates like that is why this stock is a Zacks Rank #2 (Buy).
Valuation
The forward earnings multiple for VERI comes back as an NA on the Zacks site, but in a few short weeks we will have a working forward earnings multuiple. My math works out to see the forward multiple next year at about 85x. That is a stiff multiple, but this is a growth stock and we just saw 44% topline growth. The price to book of 8.5x is right in line for a company in this space. The price to sales of 11x is a little high, but again there is good growth here.
Chart
Veritone, Inc. Price, Consensus and EPS Surprise
Veritone, Inc. price-consensus-eps-surprise-chart | Veritone, Inc. Quote