Why Veritone Stock Skyrocketed In After-Hours Trading Today

Shares of Veritone, Inc. (VERI), a provider of artificial intelligence (AI) computing solutions, rallied about 54% in Tuesday’s premarket session, after the company announced new contracts and also preannounced potential third-quarter revenue shortfall.

If the after-hours jump carries over into Wednesday’s session, Veritone stock will be on track to record its best day ever. On Stocktwits, retail sentiment toward the stock flipped to ‘extremely bullish’ (76/100) as of late Tuesday from ‘bearish’ the day before. The message volume spiked to ‘extremely high’ levels.

The Irvine, California-based company said it has secured major contract wins to deploy its Veritone Data Refinery (VDR) product offering with leading hyperscalers. Data refining is the process of making data more accurate, consistent and useful for analysis and decision making. 

In a statement, the company said, “These partnerships underscore Veritone’s accelerated momentum in enabling the largest enterprises and model developers to transform proprietary, unstructured data into actionable, license-ready intelligence that fuels cognitive and generative AI development.”

With the recent VDR contracts, the company’s near-term VDR pipeline and recent bookings totaled $40 million, a 100% increase from August. The contracts include those from both commercial and public-sector customers.

CEO Ryan Steelberg said, “We’re proud to see the industry increasingly recognize Veritone as a trusted partner for the unstructured training data ecosystem, and we are firmly on track to have formalized partnerships with nearly every major hyperscaler by the end of 2025.”

The company also announced preliminary third-quarter results, expecting an adjusted loss of $5.5 million to $6 million, lower than the guidance for an adjusted loss of $6.5 million to $6 million it issued in early August. The company expects revenue of $28.5 million to $28.7 million versus the previous guidance of $28 million to $30 million. Analysts, on average, expect the topline to come in at $28.7, according to Fiscal.ai.

Veritone stock was among the top five trending equity tickers on Stocktwits as of late Tuesday.

A bullish user said the fair price for the stock after the contract wins is $30. It ended Tuesday’s session up 4.40% at $5.46.

Another user pointed to a stock price target hike and urged fellow retail traders to “hold for the long term.”

The stock has climbed about 67% this year.

For updates and corrections, email newsroom[at]stocktwits[dot]com.

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