LivePerson Inc. (LPSN): A Technical View

As of Wednesday close, LivePerson Inc.’s (NASDAQ:LPSN) stock was up $0.16, moving up 4.08 percent to $4.08. The average number of shares traded per day over the past five days has been 1,182,920 shares. 1 time new highs have been achieved over the past 5 days, with a -$0.13 fall in that time frame. In the last twenty days, the average volume was 2,279,340, while in the previous 50 days, it was 2,366,884.

Since last month, LPSN stock retreated -11.50%. Shares of the company fell to $3.76 on 08/28/23, the lowest level in the past month. A 52-week high of $18.17 was reached on 02/03/23 after having rallying from a 52-week low of $3.18. Since the beginning of this year, LPSN’s stock price has dropped by -59.76% or -$6.06, and marked a new high 12 times. However, the stock has declined by -77.55% since its 52-week high.

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LPSN stock investors should be aware that LivePerson Inc. (LPSN) stock had its last reported insider trading activity 31 days ago on Jul 31. Collins John DeNeen, the Chief Financial Officer of the company, disposed of 21,275 shares for $4.78 on Jul 31. It resulted in a $101,694 divestment by the insider. Greenberg Monica L. sold 7,782 shares at an average price of $4.78 on Jul 31. The insider now owns 101,079 shares following the transaction. On Jul 31, Chief Accounting Officer Osumi Norman M. sold 3,357 shares at $4.78 apiece. The transaction was valued at $16,046.

Valuation Metrics

The stock’s beta is 1.57. Besides these, the trailing price-to-sales (P/S) ratio of 0.71, the price-to-book (PB) ratio of 3.49.

Financial Health

In the three months ended June 29, LivePerson Inc.’s quick ratio stood at 1.20, while its current ratio was 1.20, showing that the company is able to pay off its debt. According to company report, the long-term debt-to-equity ratio for the quarter ending June 29 was 5.67, and the total debt-to-equity ratio was 6.48. On the profitability front, the trailing twelve-month gross margin is 64.10% percent. In the year ended June 29, EBITDA margin amounted to -27.78%, whereas operating margins totaled -25.00%. Based on annual data, LPSN earned $330.1 million in gross profit and brought in $514.8 million in revenue.

A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was -27.70%. Return on equity (ROE) for the past 12 months was -117.10%.

According to the earnings report, the company had a lower net income in the recent quarter than it did in the previous quarter. LPSN’s revenue fell -35.94% to $107.66 million during the quarter, while net income inched up to $97.52 million. While analysts expected LivePerson Inc. to report -$0.38 quarterly earnings, the actual figure was $0.12 per share, beating the consensus estimate by 131.60%. During the quarter, the company generated $22.62 million in EBITDA. The liabilities of LivePerson Inc. were 808.14 million at the end of its most recent quarter ended June 29, and its total debt was $584.73 million. The value of shareholders’ equity is $77.96 million.

Technical Picture

This quick technical analysis looks at LivePerson Inc.’s (LPSN) price momentum. With a historical volatility rate of 58.65%, the RSI 9-day stood at 46.06% on 30 August.

With respect to its five-day moving average, the current LivePerson Inc. price is down by -3.09% percent or -$0.13. At present, LPSN shares trade -3.55% below its 20-day simple moving average and -8.93% percent below its 100-day simple moving average. However, the stock is currently trading approximately -1.21% below its SMA50 and -69.09% below its SMA200.

Stochastic coefficient K was 9.33% and Stochastic coefficient D was 7.04%, while ATR was 0.34. Given the Stochastic reading of 18.08% for the 14-day period, the RSI (14) reading has been calculated as 46.01%. As of today, the MACD Oscillator reading stands at -0.09, while the 14-day reading stands at -0.28.

Analyst Ratings

ROTH MKM upgraded its rating on LivePerson Inc. (NASDAQ: LPSN) to a Buy in a note to investors on August 09, 2023. The analysts firm previously had a Neutral rating on the stock.LivePerson Inc. (LPSN) has been rated Hold by analysts. According to 1 brokerage firm, LPSN is a sell, and 8 firms recommend it is a Hold. There are 0 analysts who say the stock is underweight. A total of 0 analysts rate LivePerson Inc. stock as buy, with 2 recommending it as overweight.

With a median target price of $5.00, the current consensus forecast for the stock is $4.00 – $7.00. Based on these forecasts, analysts predict LivePerson Inc. (LPSN) will achieve an average price target of $5.43.

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