Financial Data and Key Metrics Changes - Revenue for Q3 2024 was $74.2 million, exceeding the high end of guidance, driven by successful retention efforts [12][38] - Adjusted EBITDA was $7.3 million, also above guidance, attributed to cost structure adjustments [13][38] - B2B hosted services revenue was $62.7 million, down 27% year-over-year, while B2B core recurring revenue was $68.8 million, down 21% year-over-year [39] - Average revenue per customer increased by 6% year-over-year to $630,000 [40] - RPO declined to $256 million, with net revenue retention at 79%, down from 83% in the previous quarter [41] Business Line Data and Key Metrics Changes - Professional services revenue was $11.6 million, down 26% year-over-year [40] - The company signed 44 deals in Q3, including nine new logos and 35 expansions and renewals, marking a 19% increase in total deals from Q2 [35] Market Data and Key Metrics Changes - US revenue was $49.4 million, while international revenue was $24.9 million, representing 67% and 33% of total revenue, respectively [40] Company Strategy and Development Direction - The company is focusing on enhancing its omnichannel solutions and integrating voice interactions with digital capabilities [7][8] - Strategic partnerships, particularly with Avaya, are expected to drive bookings and pipeline momentum [9][27] - Future innovations will focus on expanding voice partnerships, increasing generative AI use cases, and enhancing digital channel capabilities [23] Management's Comments on Operating Environment and Future Outlook - Management anticipates continued sequential improvement in bookings and greater visibility into churn risks [31] - There is an expectation of attrition continuing into the first half of 2025, offsetting revenue gains from sequential bookings improvement [33] - The company expects to see positive net new ARR in the second half of 2025 [34][46] Other Important Information - The company is maintaining its revenue guidance for the full year 2024 at $305 million to $310 million [43] - Cash on the balance sheet at the end of Q3 was $142 million [42] Q&A Session Summary Question: Discussion on ARR bottoming and renewal engagement challenges - Management noted that while initial expectations were optimistic, recent insights into customer health and adoption have revealed challenges in influencing renewal decisions due to past instability [54] Question: Progress on new sales motion and expectations - Management indicated that the new sales motion is ramping faster than expected, with pricing and packaging changes leading to shorter deal cycles and larger deal sizes [55] Question: Main use cases for new logo wins - New logo wins are primarily focused on integrating voice and providing unified analytics, with significant use of generative AI across customer interactions [57][58] Question: Competitors for seven-figure deals and value propositions - The competitive landscape remains stable, with consistent competitors such as Genesys and Salesforce, and the company's value proposition includes the ability to innovate without requiring full CCaaS migration [60][61]

Financial Performance - Revenue for the three months ended September 30, 2024, was $74.244 million, a decrease of 26.8% compared to $101.332 million for the same period in 2023[9]. - Net loss for the three months ended September 30, 2024, was $28.309 million, compared to a net loss of $53.312 million for the same period in 2023, representing a 47% improvement[11]. - Total costs and expenses for the three months ended September 30, 2024, were $90.282 million, down from $145.007 million in the same period of 2023, a reduction of 37.8%[9]. - The company reported a loss from operations of $16.038 million for the three months ended September 30, 2024, compared to a loss of $43.675 million for the same period in 2023[9]. - Basic net loss per share for the three months ended September 30, 2024, was $(0.32), an improvement from $(0.68) in the same period of 2023[9]. - The company had a comprehensive loss of $25.774 million for the three months ended September 30, 2024, compared to a comprehensive loss of $55.470 million for the same period in 2023[11]. - The net loss for the nine months ended September 30, 2024, was $22,145,000, compared to a net loss of $59,910,000 for the same period in 2023[17]. Cash and Equity - Cash and cash equivalents as of September 30, 2024, were $45.906 million, reflecting a decrease from previous quarters[13]. - Total stockholders' equity as of September 30, 2024, was $45.906 million, down from $66.606 million as of June 30, 2024[13]. - As of September 30, 2023, LivePerson reported a total stockholders' equity of $45,081,000, a decrease from $90,145,000 as of June 30, 2023[15]. - Cash, cash equivalents, and restricted cash at the end of the period were $142,104,000, down from $214,332,000 at the end of the same period in 2023[19]. Revenue Breakdown - Hosted services revenue for the three months ended September 30, 2024, was $62.7 million, down from $85.7 million in the prior year, representing a decline of 26.9%[39]. - Professional services revenue for the three months ended September 30, 2024, was $11.6 million, compared to $15.6 million for the same period in 2023, a decrease of 25.5%[39]. - Revenue from the Americas for the three months ended September 30, 2024, was $50.9 million, down from $73.7 million in the same period of 2023, a decline of 30.9%[41]. - EMEA revenue for the three months ended September 30, 2024, was $14.3 million, compared to $16.2 million in the prior year, a decrease of 11.5%[41]. - APAC revenue for the three months ended September 30, 2024, was $9.0 million, down from $11.4 million in the same period of 2023, a decline of 21.0%[41]. Operational Efficiency - The company plans to continue focusing on cost reduction strategies and improving operational efficiency in the upcoming quarters[9]. - LivePerson's net cash used in operating activities for the nine months ended September 30, 2024, was $12,015,000, an improvement from $24,302,000 in 2023[17]. - The company reported a net cash used in investing activities of $23,505,000 for the nine months ended September 30, 2024, compared to $11,863,000 in 2023[17]. Asset Management - Goodwill decreased from $285.6 million as of December 31, 2023, to $282.3 million as of September 30, 2024, reflecting a goodwill impairment charge of $3.6 million[56]. - Total long-lived assets decreased from $513.8 million as of December 31, 2023, to $478.8 million as of September 30, 2024, a decrease of 6.8%[54]. - Property and equipment, net as of September 30, 2024, was $105.1 million, a decrease from $119.3 million as of December 31, 2023[67]. Debt and Financing - The Company repurchased $157.5 million of its 2024 Convertible Senior Notes for $149.7 million, resulting in a gain of $7.2 million recognized in Q1 2023[75][76]. - As of September 30, 2024, the outstanding principal amount of the 2024 Notes was reduced to $72.5 million, with no remaining principal amount after repayment[76]. - The 2026 Convertible Senior Notes had an outstanding principal amount of $361.2 million as of September 30, 2024, with a maturity date of December 15, 2026[77][78]. - The Company exchanged $146.0 million principal amount of 2026 Notes for $100.0 million principal amount of new 2029 Notes, recognizing a $68.1 million gain on debt extinguishment during Q2 2024[83]. - Interest on the 2029 Notes will accrue at a rate of 10.83% from June 3, 2024, increasing to 11.375% after the issuance of Delayed Draw Notes, and further to 13% after December 15, 2026[89]. Legal and Regulatory Matters - The company faced multiple legal actions, including a putative stockholder class action and derivative actions related to alleged misrepresentations in its public disclosures[137][138]. - The company discontinued all products and services related to COVID-19 and is cooperating with governmental inquiries regarding its previous offerings[142]. Restructuring and Costs - The Company recognized restructuring costs of $1.4 million and $7.9 million for the three and nine months ended September 30, 2024, respectively[134]. - The total restructuring costs for the nine months ended September 30, 2024, were $7.876 million, compared to $15.999 million for the same period in 2023[136]. - The balance of the restructuring liability at the end of the period was $2.005 million as of September 30, 2024, down from $2.076 million at the beginning of the year[135]. Stock-Based Compensation - Total stock-based compensation costs for the three months ended September 30, 2024, amounted to $5,375,000, compared to $11,296,000 for the nine months ended September 30, 2024[133]. - The Company had approximately $1.7 million of total unrecognized compensation cost related to non-vested share-based compensation arrangements as of September 30, 2024[131].

Core Viewpoint - Momentum investing focuses on "buying high and selling higher," contrasting with traditional strategies of "buying low and selling high" [1] Group 1: Momentum Investing Strategy - Momentum investing can be risky as stocks may lose momentum if their valuations exceed future growth potential [1] - Identifying the right entry point for momentum stocks is challenging, and investors may end up with expensive shares that have limited upside [1] Group 2: Bargain Momentum Stocks - Investing in bargain stocks that have recently shown price momentum may be a safer strategy [2] - The Zacks Momentum Style Score is useful for identifying strong momentum stocks, while the 'Fast-Paced Momentum at a Bargain' screen helps find attractively priced fast-moving stocks [2] Group 3: LivePerson (LPSN) Stock Analysis - LivePerson (LPSN) has shown a price increase of 6.2% over the past four weeks, indicating growing investor interest [3] - LPSN has gained 63.2% over the past 12 weeks, demonstrating its ability to deliver positive returns over a longer timeframe [4] - The stock has a beta of 1.79, indicating it moves 79% higher than the market in either direction, reflecting fast-paced momentum [4] Group 4: Valuation and Earnings Estimates - LPSN has a Momentum Score of B, suggesting it is a favorable time to invest in the stock [5] - The stock has a Zacks Rank 2 (Buy) due to upward revisions in earnings estimates, which attract more investor interest [6] - LPSN is trading at a Price-to-Sales ratio of 0.30, indicating it is reasonably valued at 30 cents for each dollar of sales [6] Group 5: Additional Investment Opportunities - Besides LPSN, there are other stocks that meet the criteria of the 'Fast-Paced Momentum at a Bargain' screen, presenting further investment opportunities [7] - Zacks offers over 45 Premium Screens tailored to different investing styles, which can help identify winning stock picks [8]

The LivePerson Community empowers customers to achieve better business results through self-service, collaboration, and co-innovation NEW YORK, Oct. 1, 2024 /PRNewswire/ -- LivePerson (Nasdaq: LPSN), the enterprise leader in digital-first customer conversations, today announced the launch of the LivePerson Community, a new customer-driven destination that facilitates connection and growth across its global customer base. The community helps brands gain the maximum value from LivePerson's industry-leading cu ...

Brands across financial services, insurance, healthcare, retail, and more use LivePerson solutions to generate better business outcomes from AI NEW YORK, Sept. 24, 2024 /PRNewswire/ -- LivePerson (Nasdaq: LPSN), the enterprise leader in digital-first customer conversations, has helped major brands worldwide achieve meaningful ROI from their AI initiatives. These real applications of AI and automation have accelerated contact center transformations, supercharged agent productivity, and delivered more persona ...

Proven tech industry leaders join leading digital-first conversations company to accelerate go-to-market and partner ecosystem NEW YORK, Sept. 10, 2024 /PRNewswire/ -- LivePerson (Nasdaq: LPSN), the enterprise leader in digital-first customer conversations, today announced the appointments of Richard Halkett as Senior Vice President, Americas Sales and Rich Steeves as Senior Vice President, Partnerships. The addition of these two accomplished leaders supports LivePerson's strategy to accelerate the business ...

Momentum investing is essentially an exception to the idea of "buying low and selling high." Investors following this style of investing are usually not interested in betting on cheap stocks and waiting long for them to recover. Instead, they believe that "buying high and selling higher" is the way to make far more money in lesser time. Who doesn't like betting on fast-moving trending stocks? But determining the right entry point isn't easy. Often, these stocks lose momentum once their valuation moves ahead ...

NEW YORK, Aug. 21, 2024 /PRNewswire/ -- LivePerson (Nasdaq: LPSN), the enterprise leader in digital customer conversations, today announced it has been named a Sample Vendor in both the Gartner® Hype Cycle™ for Digital Commerce, 20241 and the Gartner® Hype Cycle™ for Banking Customer Experience, 20242. Gartner Hype Cycles provide a graphic representation of the maturity and adoption of technologies and applications, and how they are potentially relevant to solving real business problems and exploiting new o ...

Core Viewpoint - The nomination of Walter Bachtiger and Michal Czwarno to the LivePerson Board aims to leverage their expertise in artificial intelligence and B2B operations to restore the company's market position and shareholder confidence [1][4]. Group 1: Nominees' Background and Expertise - Walter Bachtiger, Founder and CEO of TimeTrust and former LivePerson Vice President, has extensive experience in SaaS and B2B, particularly in delivering AI-powered chat support systems to Fortune 500 companies [2][7]. - Michal Czwarno is a strategic technology leader with a strong track record in scaling software companies, having held significant roles at Asana, PageUp, and DocuSign [2][8]. Group 2: Company Performance and Challenges - LivePerson's stock has declined by approximately 80% since August 2023, with a notable 47% drop in a single day following a February 2024 earnings call that revealed a $100 million revenue loss due to customer churn [3]. - The company underwent a debt restructuring in May 2024, which was dilutive to equity stockholders and increased exposure to interest rates, alongside key employee departures from the data science team [3]. Group 3: Strategic Vision and Goals - Mr. LoCascio emphasizes the need for a refreshed Board that understands LivePerson's operations and the evolving AI market to regain its leadership position [4][6]. - A clear operational and customer acquisition strategy is deemed essential to reduce customer churn and restore stock value [5][6].

Momentum investors typically don't time the market or "buy low and sell high." In other words, they avoid betting on cheap stocks and waiting long for them to recover. Instead, they believe that "buying high and selling higher" is the way to make far more money in lesser time. Everyone likes betting on fast-moving trending stocks, but it isn't easy to determine the right entry point. These stocks often lose momentum when their future growth potential fails to justify their swelled-up valuation. In that phas ...