Veritone Stock: Buy or Sell?

Advancements in artificial intelligence (AI) promise to transform even the most basic daily activities.

The field of machine learning has seen substantial developments in recent years, and engineers are having increasing success with training machines to mimic the decision-making processes of human operators.

Already, AI is used across industries to perform routine tasks, reducing errors and supplying consistent output for long periods of time – two qualities human workers can’t match.

When it comes to lifestyle, smart homes leverage artificial intelligence to give owners greater control over security, energy, and appliances. For example, it is now possible to remotely lock doors, lower the thermostat, and check the contents of the refrigerator.

All signs indicate that the trend towards incorporating AI into daily activities will continue to grow. Investors who wish to be a part of this growth can choose a strong company with innovative products, then purchase shares and wait for the launch of AI advancements. But is Veritone [NASDAQ: VERI] that company and is Veristock a buy or a sell?

What Does Veritone Do?

According to Veritone’s leadership, the company was first to design and implement an operating system for artificial intelligence.

It is primarily marketed to government agencies, media and entertainment firms, and organizations with heavy legal and compliance obligations.

The platform dramatically improves efficiency by performing repetitive tasks.

More importantly, it quickly analyzes vast amounts of information to provide insight into patterns and behaviors.

For media and entertainment companies, this is a win.

Better analysis of the consumer data being collected means a greater ability to target products and services to consumer expectations.

For government agencies, the software can examine far more data in far less time than a human investigator, making it possible to identify and address concerns more effectively. In the legal and compliance arena, artificial intelligence is specifically trained to manage the discovery process and to identify potential regulatory risk through monitoring of user data.

Is Veritone a Buy or Sell?

In June 2018, Veritone [NASDAQ: VERI] was at the top of its game, and stock price reflected the company’s promise.

Investors indicated that they expected great things from the flagship AI operating system aiWARE. However, a disappointing August earnings report caused Veritone stock price to plunge, and it has yet to recover.

Analysts indicate that the mean target price for Veritone [NASDAQ: VERI] is around $15 per share.

If these expectations are met, investors that purchase at or near the January 2019 price, just below $5 per share, stand to realize substantially increased value.

However, as with any investment, this one comes with risk. NASDAQ’s RiskVentures rates the company at 437 on a scale of 100 – 700, with 700 being extremely risky, indicating that investors could lose their principal instead of increasing their wealth.

Nonetheless, analysts appear to have confidence in Veritone’s prospects. Though this stock is quite volatile, it scores a mean 1.8 on a scale of 1 – 5 among Wall Street experts. In other words, the analysts suggest that Veritone is a buy.

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The author has no position in any of the stocks mentioned. Financhill has a disclosure policy. This post may contain affiliate links or links from our sponsors.