SES AI Stock Soars on Strong Q1 Results and Share Repurchase Program

What's Going On With SES AI Shares Friday? - SES AI (NYSE:SES)

SES AI Corporation SES shares are trading higher Friday after the company reported better-than-expected earnings and announced a new share repurchase program. What To Know: SES reported a loss of 4 cents per share, beating analysts' estimate of 6-cent loss. The company also reported record revenue of $5.8 million. Looking ahead, the company affirmed its 2025 sales guidance of $15 million to $25 million, versus analysts' estimate of $22 million. Additionally, It expects to exit 2025 with more than $200 million in liquidity. The company authorized a $30 million share repurchase program. Qichao Hu, Founder and CEO of SES AI, said, "Our Board's approval of this share repurchase program reflects our confidence in SES AI's revenue projections for the year, the affirmation of our previously issued 2025 full year revenue guidance, and the expectation that we will exit 2025 with above $200 million in liquidity. We believe share repurchases are an effective capital allocation tool, providing a compelling opportunity to enhance shareholder value. The potential allocation of capital in an accretive fashion does not sacrifice our liquidity runway." See Also: $100 Invested In This Stock 10 Years Ago Would Be Worth This Much Today SES Price Action: At the time of writing, SES stock is trading 26.6% higher at $1.10, according to data from Benzinga Pro. Image: This illustration was generated using artificial intelligence via Midjourney. SESSES AI Corp$1.1128.3%Stock Score Locked: Want to See it? Benzinga Rankings give you vital metrics on any stock - anytime. Reveal Full ScoreEdge RankingsMomentum74.36Growth-Quality-Value4.05Price TrendShortMediumLongOverviewGot Questions? AskWhich tech stocks may benefit from SES AI's growth?How could SES AI's share repurchase impact investor confidence?What other companies might follow SES AI's lead in buybacks?Which emerging tech sectors could see investment surge?How does SES AI's liquidity forecast affect its competitors?Which investors are most likely to support SES AI's growth?What implications does record revenue have for similar companies?How will SES AI's 2025 sales guidance influence market sentiment?Which startups might benefit from SES AI's advancements?What investing strategies can capitalize on SES AI's momentum?Powered ByMarket News and Data brought to you by Benzinga APIs

Why SES AI Stock Jumped as Much as 45% Today | The Motley Fool

SES AI just stunned Wall Street with its Q1 results. Is this AI-driven battery innovator worth watching yet? Shares of SES AI (SES 18.54%) soared on Friday, following the battery materials researcher's impressive first-quarter report. The stock rose as much as 45.3% in the morning session, backing down to a milder (but still huge) 23.8% gain as of 3:25 p.m. ET. Your average Wall Street analyst had expected SES AI's bottom line to show a net loss of approximately $0.05 per share. That would have been comparable to the year-ago period's result. Instead, the company achieved a breakeven earnings result. Revenues landed at $5.8 million, up from $2 million in the previous quarter with no material revenues to report in the first quarter of 2024. The price gain didn't lift SES AI's shares to all-time highs. Instead, the stock returned to a level it hasn't sustained since the summer of 2024. The company's advanced battery technologies are brand new and largely unproven, so both SES AI and its investors are only starting to understand how its business opportunity will work out in the long run. That being said, SES AI looks promising. As the company name suggests, SES AI is applying artificial intelligence (AI) tools to research new battery technologies. Potential target markets include electric vehicles, drones, and humanoid robots. I'm not ready to buy this volatile micro-cap stock quite yet, as it is changing hands at a terrifying 193 times trailing sales. It may be worth watching over time, especially if it can present a few robust client deals in the next year or two. Better batteries are always welcome, and the company is off to a good start. However, keep in mind that SES AI burned through $22.8 million of negative operating cash flows in this quarter, leaving $240 million of cash and short-term investments on the balance sheet. SES AI could exhaust those cash supplies quickly if the hunt for committed clients takes too long. In other words, SES AI balances long-term growth potential against financial risk in the short term.