LivePerson, Inc. (NASDAQ: LPSN) jumped sharply on Tuesday after a bullish note from Citron Research added fuel to momentum from the company’s third‑quarter results released late Monday. As of mid‑afternoon, shares traded near $6.25 and touched an intraday high of $7.50 (roughly +43% versus Monday’s close), reflecting investor enthusiasm around an earnings beat and the company’s new Conversation Simulator AI product. [1]
What’s moving the stock today (Nov. 11)
- Citron catalyst: Citron Research highlighted LivePerson’s stronger‑than‑expected Q3 print and argued the market underestimates the company’s AI pipeline, spotlighting the new Conversation Simulator and enterprise traction. That commentary helped send LPSN sharply higher in early trading. [2]
- Fresh off earnings: On Nov. 10, LivePerson reported Q3 revenue of $60.2M (–19% y/y) and adjusted EBITDA of $4.8M, both above the high end of guidance. Management also detailed 28 total deals in the quarter and rising average revenue per customer. [3]
Key numbers & guidance
- Revenue: $60.2M (–19% y/y).
- Adjusted EBITDA: $4.8M.
- Net income (GAAP): $8.7M, primarily reflecting a gain related to a troubled‑debt restructuring.
- Cash & equivalents: $106.7M at Sept. 30, 2025.
- Q4 outlook: Revenue $50.5M–$55.5M; adjusted EBITDA –$0.3M to $4.7M.
- Full‑year 2025 outlook: Revenue $235M–$240M; adjusted EBITDA $7.5M–$12.5M (raised from prior FY range). [4]
Why “raised”: In August, LivePerson’s full‑year 2025 outlook called for revenue of $230M–$240M and adjusted EBITDA of –$3M to $7M. Monday’s update increases the low end of the revenue range to $235M and lifts the adjusted EBITDA range to $7.5M–$12.5M. [5]
Product momentum: Conversation Simulator
Last week, LivePerson launched Conversation Simulator, a vendor‑agnostic testing and governance environment designed to de‑risk generative AI deployments by letting enterprises test, train, and validate AI (and human) agents before they touch customers. The company says Telstra is already using the product and seeing early results. Citron’s note pointed to this tool as a core part of the bull thesis. [6]
Strategic and financial context
- Deals and mix: The company signed 28 deals in Q3 (26 expansions/renewals, 2 new logos), and TTM ARPC increased 5.6% to $665K, signaling deeper wallet share with remaining customers despite top‑line pressure. [7]
- Balance sheet actions: LivePerson’s reported GAAP profit for the quarter was largely driven by the troubled‑debt restructuring gain linked to its deleveraging program earlier this year, while cash ended the quarter at $106.7M. [8]
- Share mechanics: The company completed a 1‑for‑15 reverse stock split on Oct. 13, 2025; per‑share figures are retroactively adjusted. That context matters when comparing historical share prices or EPS. [9]
The big picture for LPSN
LivePerson is pushing to stabilize revenue while pivoting to predictable, governed conversational AI—a theme management emphasized alongside its Google partnership and cloud migrations. Despite lower year‑over‑year revenue, beats on revenue and adjusted EBITDA guidance, a higher FY adjusted EBITDA range, and tangible product updates are the near‑term drivers behind today’s sharp move. [10]
What to watch next
- Q4 execution vs. a conservative guide: Can LivePerson hit the top end of its Q4 ranges and carry momentum into 2026? [11]
- Conversation Simulator adoption: Additional named customers, proof points, or compliance use‑cases could further validate demand. [12]
- Profitability trajectory: The widened FY25 adjusted EBITDA range implies improving operating discipline; watch for sustained positive free cash flow. [13]
Sources (today and this week)
- Stock move (real‑time): Web market data for LPSN (price, high/low, intraday move).
- Citron reaction piece (today, Nov. 11): Investing.com coverage of Citron’s bullish note and today’s surge. [14]
- Q3 2025 earnings press release (Nov. 10): Revenue/EBITDA beats, guidance, deal metrics, cash, and reverse split footnote. [15]
- FY guidance change context (Aug. 11 vs. Nov. 10): Prior and updated 2025 outlook from PR Newswire releases. [16]
- Product launch (Nov. 6): PR Newswire — Conversation Simulator, enterprise use and claims. [17]
Editor’s note: This article is for informational purposes only and is not investment advice. Always do your own research.
References
1. www.investing.com, 2. www.investing.com, 3. www.nasdaq.com, 4. www.nasdaq.com, 5. www.prnewswire.com, 6. www.prnewswire.com, 7. www.nasdaq.com, 8. www.nasdaq.com, 9. www.nasdaq.com, 10. www.nasdaq.com, 11. www.nasdaq.com, 12. www.prnewswire.com, 13. www.prnewswire.com, 14. www.investing.com, 15. www.nasdaq.com, 16. www.prnewswire.com, 17. www.prnewswire.com
