Ouster Reports Earnings on August 6. Here’s Why the Stakes Are So High.

On Aug. 6, Ouster (OUST) reports its second-quarter earnings, and there is more riding on this one than usual. The company’s stock has swung hard both ways this year. Year-to-date (YTD), shares are up 117% and have jumped 38% in just the past five days. Yet, from late June to late July, the stock was cut roughly in half. That is the kind of volatility that makes an earnings release feel unpredictable.

The headline growth will almost certainly look strong. Ouster guided second-quarter revenue to a range of $49.5 million to $52.5 million, comfortably above the $35 million it posted a year ago. What the investors will be keen to find out is if the company can continue to improve quarter-over-quarter (QoQ). Ouster already posted nearly $49 million in the first quarter, so the low end of its guidance is essentially flat from there. Part of that first-quarter figure also came from Stereolabs, the sensing company Ouster bought in February, which added roughly seven weeks of extra revenue. So it will be interesting to see if the company can grow QoQ off an already-raised base.