Ouster: Strong Growth Should Lead To Further Upside

**Ouster: Strong Growth Should Lead To Further Upside**
*December 16, 2025 | 8:16 PM ET*

Ouster, Inc. (NASDAQ: OUST) has exhibited strong growth recently, primarily driven by its expanding presence in the smart infrastructure and robotics verticals. While the automotive opportunity continues to be delayed, it is not a critical component of Ouster’s current business narrative.

Despite some stock price pressure over the past six months, likely due to valuation concerns and a waning investor enthusiasm for drone-related stocks, Ouster’s shares remain reasonably priced. Given the company’s continued robust growth trajectory, solid returns over the next 12 months appear achievable.

### Company Overview and Market Position

Ouster operates at the intersection of innovative sensor technology and growing market demand for smart infrastructure and autonomous robotics applications. Though the automotive sector has not yet materialized as expected, Ouster’s diversified exposure helps mitigate this risk. The company’s high-performance lidar sensors are well positioned to capture secular growth opportunities in industries where market barriers to entry remain significant.

### Investment Perspective

Richard Durant, leader of Narweena — an asset management firm that specializes in identifying market dislocations stemming from misunderstood long-term prospects — highlights Ouster’s potential. Narweena’s investment approach focuses on deep fundamental research and targets smaller-cap stocks with identifiable competitive advantages.

The firm believes that demographic shifts, including an aging population combined with stagnating productivity growth, will reshape investment opportunities. Many traditional industries may face secular decline or stagnation, potentially lessening competition and improving business performance for companies like Ouster that operate in growth markets.

Durant, who holds degrees in engineering and finance from the University of Adelaide and an MBA from Nanyang Technological University, underscores that Ouster’s current valuation looks reasonable relative to its growth prospects. His perspective suggests that investors can expect strong risk-adjusted returns by focusing on these secular growth trends.

### Analyst Disclosure

I/we have no stock, option, or similar derivative positions in any of the companies mentioned and have no plans to initiate any such positions within the next 72 hours. This article expresses my own opinions and I am not receiving compensation for it other than from Seeking Alpha. I have no business relationships with any company whose stock is mentioned.

### Disclaimer

Past performance is no guarantee of future results. This article should not be considered investment advice or a recommendation to buy or sell securities. The views expressed are those of the author and may not reflect the opinions of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker, or US investment adviser. Opinions here are provided by third-party authors who may or may not be licensed or certified.

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*By Richard Durant, 9.39K Followers*
Leader of Narweena Asset Management, specializing in identifying long-term secular growth opportunities in underappreciated markets.
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