Lidar maker crushes Q4 estimates with triple-digit revenue growth and a royalty windfall, sending Stocktwits sentiment to ‘extremely bullish.’
- The company’s fourth-quarter earnings per share came in at $0.06, compared with analysts’ expectations of a loss of $0.14, according to data from Fiscal AI.
- Ouster noted that the results received a boost from nearly $21 million in royalties, primarily one-time and related to long-term IP license contracts.
- The company forecast first-quarter total revenue of $45 million to $48 million, which includes approximately 7 weeks of Stereolabs operations.
Shares of Ouster, Inc. surged more than 20% in after-hours trading on Monday and are on track for their strongest session in roughly nine months after the lidar technology firm posted a surprise fourth-quarter profit and topped Wall Street revenue estimates, drawing cheers from both institutional and retail investors.
Ouster develops hardware and software that enable machines to perceive and respond to the physical world. Its portfolio includes lidar sensors and cameras that capture visual and distance data, along with high-performance computing systems that rapidly process that information for applications across industrial automation, smart infrastructure, and robotics.
The stock is down nearly 7% so far this year, following a 77% rally in 2025 that was driven by a strong balance sheet and early positioning in industrial and Physical AI-driven end markets.
OUST’s Surprise Profit And A Royalty Payment
The company’s fourth-quarter earnings per share came in at $0.06, compared with analysts’ expectations of a loss of $0.14, according to data from Fiscal AI. Ouster reported quarterly revenue of $62 million, an increase of 107% year-over-year and topping estimates of $41.12 million.
Ouster noted that the results received a boost from nearly $21 million in royalties, primarily one-time and related to long-term IP license contracts. “Volume growth and operating efficiencies, along with royalties, lifted profitability year over year,” the company said.
The company forecast first-quarter total revenue of $45 million to $48 million, which includes approximately 7 weeks of Stereolabs operations. In February, Ouster announced the completion of the acquisition of AI vision specialist StereoLabs SAS.
“Stereolabs also brings deep expertise in foundational AI model training and core perception functions, along with immediate commercial scale, adding top-tier OEMs, Fortune 500 companies, and high-growth technology firms to our customer base,” CEO Angus Pacala said.
He added that this acquisition strategically positions Ouster as the foundational end-to-end sensing and perception platform for Physical AI.
How Are Retail Users Reacting To OUST?
Retail sentiment on Ouster jumped to ‘extremely bullish’ from ‘neutral’ a day ago, with message volumes at ‘extremely high’ levels, according to data from Stocktwits.
A user on Stocktwits noted that the after-hours move bodes well for the overall feeling about what the company accomplished and what it said about the future.
In the last 24 hours, retail message volume on Stocktwits for the stock jumped 2,360%, and over the past year, the ticker has seen a more than 41% spike in followers on the platform.
A bullish user on Stocktwits said that the royalty payments could have helped buy Stereolabs almost for free.
Shares of Ouster have gained more than 160% in the last 12 months.
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