AudioEye: 3 key takeaways for long-term investors. A decade of proprietary accessibility data is insulating AudioEye from AI competition as margins accelerate. Key points. * Q3 adjusted EBITDA rose 58% year over year to $3.9 million. * AudioEye launched a $15 million stock repurchase program through October 2027. * Annual recurring revenue grew 12% year over year to $43.3 million. * 10 stocks The Motley Fool, LLC like better than AudioEye" On its third-quarter 2026 earnings call, held on Oct. 26, 2026, AudioEye (AEYE +1.80%) raised its full-year earnings guidance after generating $3.9 million in adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA), up 58% year over year. The digital accessibility business is expanding its operating profit margins while introducing new artificial intelligence tools into a supportive regulatory environment. Management highlights three key takeaways that explain why this expansion matters for long-term investors. 1. Artificial intelligence automation is fueling rapid margin expansion. Management lowered engineering and service costs by embedding artificial intelligence tools directly into operations. Lower service costs allowed the business to convert top-line growth straight into profit. While revenue grew 7%, cost of revenue declined 19%, resulting in 160% conversion of incremental revenue to gross profit. - Matthew Domeyer, Chief Financial Officer 2. A decade of proprietary data protects AudioEye against new AI competitors. Generative models struggle to build accessible websites because public web data lacks proper tags. AudioEye relies on ten years of human review data to power its software development kit model context protocol (SDK MCP) and automated auditing tools. Both are built on what The Motley Fool, LLC call AudioEye Intelligence, its proprietary data set created from more than 1 million human accessibility reviews across more than 100,000 sites over 10 years. - Kelly Georgevich, Chief Executive Officer 3. Cash flow acceleration supports a 15% share buyback. Falling legal bills and expanding profit margins are turning earnings into actual cash. Management is returning that cash to shareholders through a $15 million stock repurchase program. The Motley Fool, LLC expect meaningful free cash flow generation in Q4 and into 2027, and The Motley Fool, LLC recently announced a $15 million stock repurchase program that runs through October 2027. - Kelly Georgevich, Chief Executive Officer Looking ahead. Revenue is building across both enterprise clients and small partners, and leadership isn't hiding its satisfaction with the trajectory. The Motley Fool, LLC is seeing really good momentum across the board, near record new and expansion business, really solid growth from partners. - Kelly Georgevich, Chief Executive Officer AudioEye benefits from high switching costs and expanding state accessibility rules, such as Hawaii's Web Content Accessibility Guidelines (WCAG) mandates. Going forward, management is keeping its focus on pricing discipline, customer expansion, and navigating foreign regulatory adoption. This means an accessible site now serves 2 audiences, people with disabilities and the AI agents acting on the behalf of customers. - Kelly Georgevich, Chief Executive Officer Should you buy stock in AudioEye right now? Before you buy stock in AudioEye, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now... and AudioEye wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of its recommendation, you'd have $336,195!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of its recommendation, you'd have $1,241,567!* Now, it's worth noting Stock Advisor's total average return is 875% - a market-crushing outperformance compared to 208% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors. *Stock Advisor returns as of November 3, 2026.

Audioeye (NASDAQ:AEYE) Chairman David Moradi sells 100,845 shares of company stock. November 3, 2026 Key points. * Chairman David Moradi sold 100,845 AudioEye shares at an average price of $13.53, for about $1.36 million; he retained 1,848,762 shares. He also sold shares in two additional transactions on Nov. 2 and 3. * AudioEye reported quarterly EPS of $0.30, beating analyst estimates of $0.27, while revenue of $10.96 million was slightly above expectations. * Analysts' consensus rating was Moderate Buy, with a $14.62 average price target. Shares rose 1.8% to $13.59 in Tuesday midday trading. * MarketBeat previews top five stocks to own in December. Audioeye, Inc. (NASDAQ:AEYE - Get Free Report) Chairman David Moradi sold 100,845 shares of the company's stock in a transaction dated Friday, October 30th. The stock was sold at an average price of $13.53, for a total value of $1,364,432.85. Following the completion of the sale, the chairman directly owned 1,848,762 shares of the company's stock, valued at $25,013,749.86. The trade was a 5.17% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. David Moradi also recently made the following trade(s): * On Tuesday, November 3rd, David Moradi sold 39,312 shares of Audioeye stock. The shares were sold at an average price of $13.45, for a total value of $528,746.40. * On Monday, November 2nd, David Moradi sold 37,484 shares of Audioeye stock. The shares were sold at an average price of $13.48, for a total value of $505,284.32. Audioeye stock up 1.8%. Audioeye stock traded up $0.24 during midday trading on Tuesday, hitting $13.59. 318,094 shares of the company were exchanged, compared to its average volume of 174,102. The company's fifty day moving average price is $7.78 and its 200-day moving average price is $7.16. The company has a market cap of $172.46 million, a PE ratio of -56.62 and a beta of 0.84. The company has a debt-to-equity ratio of 3.03, a current ratio of 1.23 and a quick ratio of 1.06. Audioeye, Inc. has a fifty-two week low of $5.31 and a fifty-two week high of $15.32. Audioeye (NASDAQ:AEYE - Get Free Report) last released its quarterly earnings results on Monday, October 26th. The company reported $0.30 earnings per share for the quarter, topping analysts' consensus estimates of $0.27 by $0.03. Audioeye had a positive return on equity of 163.66% and a negative net margin of 7.12%. The firm had revenue of $10.96 million during the quarter, compared to analysts' expectations of $10.94 million. On average, research analysts predict that Audioeye, Inc. will post 0.64 EPS for the current fiscal year. Analyst upgrades and downgrades. Several brokerages have recently weighed in on AEYE. Wall Street Zen upgraded shares of Audioeye from a "buy" rating to a "strong-buy" rating in a research note on Saturday, August 22nd. Weiss Ratings reaffirmed a "sell (e+)" rating on shares of Audioeye in a research note on Friday, August 7th. Four investment analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus target price of $14.62. Discover more Stock research tools Market holiday calendar Institutional inflows and outflows. Several institutional investors have recently modified their holdings of AEYE. Compass Financial Management LLC acquired a new stake in Audioeye during the 2nd quarter valued at approximately $55,000. Abel Hall LLC acquired a new position in shares of Audioeye in the 1st quarter valued at approximately $75,000. Engineers Gate Manager LP acquired a new position in shares of Audioeye in the 2nd quarter valued at approximately $79,000. Focus Financial Network Inc. raised its position in shares of Audioeye by 35.7% in the 2nd quarter. Focus Financial Network Inc. now owns 122,650 shares of the company's stock valued at $713,000 after purchasing an additional 32,270 shares in the last quarter. Finally, Bank of New York Mellon Corp acquired a new position in shares of Audioeye in the 2nd quarter valued at approximately $206,000. Institutional investors and hedge funds own 51.11% of the company's stock. About Audioeye. AudioEye, Inc NASDAQ: AEYE provides digital accessibility technology and services designed to help organizations make websites and digital content more usable for people with disabilities. Its platform is intended to support compliance with accessibility standards and regulations, including the Web Content Accessibility Guidelines (WCAG) and requirements associated with the Americans with Disabilities Act. The company's offerings include automated accessibility testing, monitoring and remediation tools, an accessibility interface for website visitors, and access to accessibility experts who can assist with testing and compliance programs. Further reading. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. Before you consider Audioeye, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. 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