Shutterstock introduces ethical generative 3D API By Investing.com

NEW YORK – Shutterstock , Inc. (NYSE: NYSE:), a prominent creative platform, has unveiled its generative 3D API, which allows the creation of realistic 3D models using artificial intelligence. The API, based on NVIDIA (NASDAQ:)’s multimodal Edify architecture, is now available for commercial beta use by enterprises.

The new API, which is trained on over half a million ethically-sourced 3D models and a vast image library from Shutterstock, offers a text-to-3D and image-to-3D generation capability. The service is designed to produce 3D models in minutes, a task that typically requires hours, thus streamlining the content creation process for various industries.

Shutterstock’s API ensures that the original creators of the content are fairly compensated, with the option for them to opt out. The generated 3D models come with a 2D preview image for user approval before the final 3D files are produced in multiple formats, including GLB, USDz, and OBJ.

In addition to the 3D model generator, Shutterstock has also begun early access to its 360 HDRi generator API, which creates natural environments for lighting 3D scenes. These innovations are set to be showcased at the SIGGRAPH 2024 conference, with demonstrations by early beta testers such as HP (NYSE:), Trigger XR, and WPP (LON:).

Shutterstock emphasizes the ethical use of AI, incorporating TRUST safeguards to maintain ethical compliance, legal integrity, and brand safety. The API also comes with intuitive documentation and plugins to assist users, including those without a development background.

The API is currently available to enterprise customers, with a self-service option and generative credit packs starting at $25 to be offered soon. The launch aims to cater to companies of all sizes, providing them access to advanced 3D capabilities.

This announcement is based on a press release statement. For more information, interested parties can visit the generative 3D landing page on Shutterstock’s website or the NVIDIA build platform.

In other recent news, Shutterstock, Inc. announced a dividend of $0.30 per share, reflecting a stable financial outlook. The company’s Q1 2024 earnings surpassed expectations, with revenues reaching $214 million and an EBITDA of $56 million. In a strategic move, Shutterstock plans to acquire Envato in Q3 2024, aiming to enhance its product offerings and expand its audience reach.

The company also welcomed Jaime Teevan, a Chief Scientist and Technical Fellow at Microsoft (NASDAQ:), to its board of directors, a move expected to significantly contribute to Shutterstock’s strategic direction in the field of artificial intelligence. Shutterstock amended CEO Paul J. Hennessy’s compensation and announced a new equity award incentivizing his continued service until July 1, 2026.

Analysts from Truist Securities reduced their share price target from $70 to $65 but maintained a Buy rating, citing mixed quarterly results and potential risks associated with the Envato acquisition. Conversely, Needham raised its price target from $60 to $65, maintaining a Buy rating, in response to the strong Q1 results and the Envato deal. These are some of the recent developments shaping Shutterstock’s business landscape.

InvestingPro Insights

As Shutterstock, Inc. (NYSE: SSTK) steps into the future with its innovative generative 3D API, the company’s financial health remains a key interest for investors. With a market capitalization of $1.53 billion and a P/E ratio standing at 16.2, the company’s valuation reflects its position in the competitive tech landscape. Notably, Shutterstock’s commitment to increasing shareholder value is evident as it has raised its dividend for 4 consecutive years, boasting a current dividend yield of 2.8%. This is a testament to its stable financial footing and dedication to returning value to its investors.

An InvestingPro Tip highlights that Shutterstock holds more cash than debt on its balance sheet, which is a reassuring sign of financial prudence, especially in an industry that requires constant innovation and investment. This is further supported by the company’s ability to cover interest payments with its cash flows, ensuring long-term financial sustainability.

While the company is trading at a high P/E ratio relative to near-term earnings growth, analysts remain optimistic about its profitability, predicting that Shutterstock will maintain profitability this year, as it has done over the last twelve months. For investors intrigued by Shutterstock’s financial prospects, additional InvestingPro Tips are available, offering deeper insights into the company’s performance and potential. There are 6 more tips available, which can be accessed along with more in-depth metrics and tailored analytics at https://www.investing.com/pro/SSTK. Use the coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription, providing valuable tools for informed investment decisions.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.