OOMA INC (OOMA) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:OOMA - US6834161019 - Common Stock
11.74 USD
+0.45 (+3.99%)
11.88 USD
+0.14 (+1.19%)
Taking everything into account, OOMA scores 4 out of 10 in our fundamental rating. OOMA was compared to 281 industry peers in the Software industry. While OOMA seems to be doing ok healthwise, there are quite some concerns on its profitability. OOMA is valued quite cheap, while showing a decent growth score. This is a good combination!
1. Profitability
1.1 Basic Checks
OOMA had positive earnings in the past year.
OOMA had a positive operating cash flow in the past year.
In the past 5 years OOMA always reported negative net income.
Each year in the past 5 years OOMA had a positive operating cash flow.
1.2 Ratios
OOMA has a Return On Assets of -1.01%. This is comparable to the rest of the industry: OOMA outperforms 53.74% of its industry peers.
Looking at the Return On Equity, with a value of -1.71%, OOMA is in line with its industry, outperforming 58.01% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.01% | ||
| ROE | -1.71% | ||
| ROIC | N/A |
ROA(3y)-2.66%
ROA(5y)-2.46%
ROE(3y)-5.01%
ROE(5y)-4.92%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Gross Margin of OOMA (61.02%) is worse than 61.92% of its industry peers.
In the last couple of years the Gross Margin of OOMA has remained more or less at the same level.
The Profit Margin and Operating Margin are not available for OOMA so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 61.02% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.45%
GM growth 5Y0.08%
2. Health
2.1 Basic Checks
OOMA does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for OOMA has been increased compared to 1 year ago.
Compared to 5 years ago, OOMA has more shares outstanding
OOMA has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
OOMA has an Altman-Z score of 3.50. This indicates that OOMA is financially healthy and has little risk of bankruptcy at the moment.
With a decent Altman-Z score value of 3.50, OOMA is doing good in the industry, outperforming 64.06% of the companies in the same industry.
There is no outstanding debt for OOMA. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 3.5 |
ROIC/WACCN/A
WACC10.87%
2.3 Liquidity
OOMA has a Current Ratio of 1.19. This is a normal value and indicates that OOMA is financially healthy and should not expect problems in meeting its short term obligations.
OOMA's Current ratio of 1.19 is on the low side compared to the rest of the industry. OOMA is outperformed by 65.48% of its industry peers.
OOMA has a Quick Ratio of 1.19. This is a bad value and indicates that OOMA is not financially healthy enough and could expect problems in meeting its short term obligations.
OOMA has a worse Quick ratio (0.89) than 78.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.19 | ||
| Quick Ratio | 0.89 |
3. Growth
3.1 Past
OOMA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 42.11%, which is quite impressive.
OOMA shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 10.25% yearly.
OOMA shows a small growth in Revenue. In the last year, the Revenue has grown by 5.42%.
OOMA shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.12% yearly.
EPS 1Y (TTM)42.11%
EPS 3Y10.25%
EPS 5YN/A
EPS Q2Q%53.33%
Revenue 1Y (TTM)5.42%
Revenue growth 3Y10.13%
Revenue growth 5Y11.12%
Sales Q2Q%3.49%
3.2 Future
OOMA is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 26.41% yearly.
The Revenue is expected to grow by 6.53% on average over the next years.
EPS Next Y33.77%
EPS Next 2Y19.92%
EPS Next 3Y28.08%
EPS Next 5Y26.41%
Revenue Next Year4.53%
Revenue Next 2Y5.11%
Revenue Next 3Y5.36%
Revenue Next 5Y6.53%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 14.49, OOMA is valued correctly.
Based on the Price/Earnings ratio, OOMA is valued cheaply inside the industry as 82.92% of the companies are valued more expensively.
OOMA is valuated rather cheaply when we compare the Price/Earnings ratio to 26.46, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 12.18, the valuation of OOMA can be described as correct.
Based on the Price/Forward Earnings ratio, OOMA is valued cheaper than 86.12% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.10, OOMA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.49 | ||
| Fwd PE | 12.18 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, OOMA is valued a bit cheaper than 64.41% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of OOMA indicates a rather cheap valuation: OOMA is cheaper than 85.41% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.03 | ||
| EV/EBITDA | 44.44 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as OOMA's earnings are expected to grow with 28.08% in the coming years.
PEG (NY)0.43
PEG (5Y)N/A
EPS Next 2Y19.92%
EPS Next 3Y28.08%
5. Dividend
5.1 Amount
OOMA does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
11.74
+0.45 (+3.99%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners71.52%
Inst Owner Change-1.62%
Ins Owners6.29%
Ins Owner Change-2.86%
Market Cap324.02M
Revenue(TTM)261.62M
Net Income(TTM)-1.51M
Analysts81.67
Price Target19 (61.84%)
Short Float %2.79%
Short Ratio5.86
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)10.22%
Min EPS beat(2)8.07%
Max EPS beat(2)12.37%
EPS beat(4)4
Avg EPS beat(4)14.37%
Min EPS beat(4)7.43%
Max EPS beat(4)29.6%
EPS beat(8)7
Avg EPS beat(8)11.19%
EPS beat(12)10
Avg EPS beat(12)11.18%
EPS beat(16)14
Avg EPS beat(16)14.85%
Revenue beat(2)0
Avg Revenue beat(2)-1.83%
Min Revenue beat(2)-2.02%
Max Revenue beat(2)-1.65%
Revenue beat(4)0
Avg Revenue beat(4)-1.44%
Min Revenue beat(4)-2.02%
Max Revenue beat(4)-0.73%
Revenue beat(8)1
Avg Revenue beat(8)-1.44%
Revenue beat(12)1
Avg Revenue beat(12)-1.42%
Revenue beat(16)3
Avg Revenue beat(16)-1.15%
PT rev (1m)4.2%
PT rev (3m)4.2%
EPS NQ rev (1m)0%
EPS NQ rev (3m)6.43%
EPS NY rev (1m)0%
EPS NY rev (3m)9.34%
Revenue NQ rev (1m)2.33%
Revenue NQ rev (3m)1.54%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.49 | ||
| Fwd PE | 12.18 | ||
| P/S | 1.24 | ||
| P/FCF | 16.03 | ||
| P/OCF | 12.46 | ||
| P/B | 3.68 | ||
| P/tB | 7.09 | ||
| EV/EBITDA | 44.44 |
EPS(TTM)0.81
EY6.9%
EPS(NY)0.96
Fwd EY8.21%
FCF(TTM)0.73
FCFY6.24%
OCF(TTM)0.94
OCFY8.02%
SpS9.48
BVpS3.19
TBVpS1.66
PEG (NY)0.43
PEG (5Y)N/A
Graham Number7.63
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1.01% | ||
| ROE | -1.71% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 61.02% | ||
| FCFM | 7.72% |
ROA(3y)-2.66%
ROA(5y)-2.46%
ROE(3y)-5.01%
ROE(5y)-4.92%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.45%
GM growth 5Y0.08%
F-Score7
Asset Turnover1.74
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 69.59% | ||
| Cap/Sales | 2.21% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 395.59% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.19 | ||
| Quick Ratio | 0.89 | ||
| Altman-Z | 3.5 |
F-Score7
WACC10.87%
ROIC/WACCN/A
Cap/Depr(3y)75.59%
Cap/Depr(5y)79.48%
Cap/Sales(3y)2.51%
Cap/Sales(5y)2.32%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)42.11%
EPS 3Y10.25%
EPS 5YN/A
EPS Q2Q%53.33%
EPS Next Y33.77%
EPS Next 2Y19.92%
EPS Next 3Y28.08%
EPS Next 5Y26.41%
Revenue 1Y (TTM)5.42%
Revenue growth 3Y10.13%
Revenue growth 5Y11.12%
Sales Q2Q%3.49%
Revenue Next Year4.53%
Revenue Next 2Y5.11%
Revenue Next 3Y5.36%
Revenue Next 5Y6.53%
EBIT growth 1Y77.39%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year60.53%
EBIT Next 3Y35.38%
EBIT Next 5Y29.47%
FCF growth 1Y329.05%
FCF growth 3Y101.61%
FCF growth 5YN/A
OCF growth 1Y144.57%
OCF growth 3Y58.67%
OCF growth 5YN/A
OOMA INC / OOMA FAQ
What is the fundamental rating for OOMA stock?
ChartMill assigns a fundamental rating of 4 / 10 to OOMA.
What is the valuation status of OOMA INC (OOMA) stock?
ChartMill assigns a valuation rating of 7 / 10 to OOMA INC (OOMA). This can be considered as Undervalued.
How profitable is OOMA INC (OOMA) stock?
OOMA INC (OOMA) has a profitability rating of 2 / 10.
What are the PE and PB ratios of OOMA INC (OOMA) stock?
The Price/Earnings (PE) ratio for OOMA INC (OOMA) is 14.49 and the Price/Book (PB) ratio is 3.68.