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NICE Strengthens CXone Solution With New AI-Powered Features

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NICE (NICE - Free Report) is riding on its expanding portfolio and strong clientele. The company further strengthened its CXone portfolio with the latest Spring 2023 release that offers AI-powered capabilities that helps in customer interactions.

CXone is a CX native cloud platform that enables leading organizations to offer a seamless CXi experience to customers by utilizing digitalization, AI and automation. CXone, which currently has more than one million agents and supervisors, has been benefiting from strong adoption.

It has been adopted by the likes of New Zealand Telehealth Services, LanguageLoop and Penrith City Council in recent times.

Moreover, NICE is riding on an expanding partner base. Its partnerships with Alphabet (GOOGL - Free Report) and Microsoft (MSFT - Free Report) have been aiding in the growing adoption of CXone.

The integration of CXone with Google Cloud CCAI empowered businesses to offer more sophisticated ways to help customers with smarter service and AI-enhanced assistance.
 

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Moreover, the collaboration with Microsoft to deliver the power of CXone on Azure created frictionless and cohesive customer service interaction.

NICE’s Positive Outlook

NICE shares have lost 0.8% in the past year, primarily due to challenging macroeconomic conditions and raging inflation. The reversal of pandemic trends has also hurt its prospects.

However, the company has outperformed the Zacks Computer and Technology sector, as well as its Zacks Internet Software industry peer Meta Platforms (META - Free Report) over the same time frame.

While the broader Computer & Technology sector and Internet Software industry have fallen 13.3% and 27.8%, Meta Platforms shares have declined 8.1%.

The outperformance can be attributed to the strong demand for NICE’s cloud-based solutions, expanding partner base and innovative product pipeline.

These factors helped it report a 10% year-over-year revenue increase in fourth-quarter 2022. Cloud revenues also increased 26% year over year to $358.9 million. Moreover, earnings of $2.04 per share increased 18% year over year.

For the first quarter of 2023, this Zacks Rank #3 (Hold) company expects revenues between $559 million and $569 million. Earnings are pegged in the range of $1.92-$2.02 per share. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

NICE raised its guidance for 2023. It expects total revenues between $2.345 billion and $2.365 billion, indicating 8% growth over 2022. Earnings are pegged in the $8.28-$8.48 per share range, suggesting 10% growth at the midpoint over 2022.


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