OOMA INC (OOMA) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:OOMA - US6834161019 - Common Stock
11.14 USD
-0.59 (-5.03%)
11.0536 USD
-0.09 (-0.78%)
Taking everything into account, OOMA scores 5 out of 10 in our fundamental rating. OOMA was compared to 276 industry peers in the Software industry. OOMA has only an average score on both its financial health and profitability. OOMA scores decently on growth, while it is valued quite cheap. This could make an interesting 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 1.47%. This is in the better half of the industry: OOMA outperforms 60.51% of its industry peers.
With a decent Return On Equity value of 2.50%, OOMA is doing good in the industry, outperforming 62.32% of the companies in the same industry.
With a decent Return On Invested Capital value of 1.43%, OOMA is doing good in the industry, outperforming 64.49% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.47% | ||
| ROE | 2.5% | ||
| ROIC | 1.43% |
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 Profit Margin of OOMA (0.85%) is comparable to the rest of the industry.
OOMA's Operating Margin of 0.69% is in line compared to the rest of the industry. OOMA outperforms 59.42% of its industry peers.
OOMA's Gross Margin of 61.00% is on the low side compared to the rest of the industry. OOMA is outperformed by 61.59% of its industry peers.
In the last couple of years the Gross Margin of OOMA has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.69% | ||
| PM (TTM) | 0.85% | ||
| GM | 61% |
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so OOMA is destroying value.
The number of shares outstanding for OOMA has been increased compared to 1 year ago.
OOMA has more shares outstanding than it did 5 years ago.
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
An Altman-Z score of 3.55 indicates that OOMA is not in any danger for bankruptcy at the moment.
The Altman-Z score of OOMA (3.55) is better than 67.03% of its industry peers.
OOMA has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 3.55 |
ROIC/WACC0.13
WACC10.9%
2.3 Liquidity
OOMA has a Current Ratio of 1.24. This is a normal value and indicates that OOMA is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.24, OOMA is doing worse than 63.77% of the companies in the same industry.
A Quick Ratio of 0.95 indicates that OOMA may have some problems paying its short term obligations.
OOMA has a Quick ratio of 0.95. This is in the lower half of the industry: OOMA underperforms 76.09% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.24 | ||
| Quick Ratio | 0.95 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 54.24% over the past year.
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 4.22%.
The Revenue has been growing by 11.12% on average over the past years. This is quite good.
EPS 1Y (TTM)54.24%
EPS 3Y10.25%
EPS 5YN/A
EPS Q2Q%58.82%
Revenue 1Y (TTM)4.22%
Revenue growth 3Y10.13%
Revenue growth 5Y11.12%
Sales Q2Q%3.84%
3.2 Future
Based on estimates for the next years, OOMA will show a very strong growth in Earnings Per Share. The EPS will grow by 26.41% on average per year.
Based on estimates for the next years, OOMA will show a small growth in Revenue. The Revenue will grow by 6.53% on average per year.
EPS Next Y50.61%
EPS Next 2Y37.36%
EPS Next 3Y28.02%
EPS Next 5Y26.41%
Revenue Next Year5.34%
Revenue Next 2Y11.45%
Revenue Next 3Y8.73%
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
Based on the Price/Earnings ratio of 12.24, the valuation of OOMA can be described as correct.
86.23% of the companies in the same industry are more expensive than OOMA, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of OOMA to the average of the S&P500 Index (26.60), we can say OOMA is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 8.81, the valuation of OOMA can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of OOMA indicates a rather cheap valuation: OOMA is cheaper than 90.58% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of OOMA to the average of the S&P500 Index (23.23), we can say OOMA is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.24 | ||
| Fwd PE | 8.81 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of OOMA indicates a somewhat cheap valuation: OOMA is cheaper than 73.19% of the companies listed in the same industry.
OOMA's Price/Free Cash Flow ratio is rather cheap when compared to the industry. OOMA is cheaper than 83.70% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.28 | ||
| EV/EBITDA | 24.59 |
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.
OOMA's earnings are expected to grow with 28.02% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.24
PEG (5Y)N/A
EPS Next 2Y37.36%
EPS Next 3Y28.02%
5. Dividend
5.1 Amount
OOMA does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
11.14
-0.59 (-5.03%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners71.55%
Inst Owner Change0%
Ins Owners6.16%
Ins Owner Change-4.1%
Market Cap307.46M
Revenue(TTM)264.12M
Net Income(TTM)2.25M
Analysts81.67
Price Target18.93 (69.93%)
Short Float %2.89%
Short Ratio3.92
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)16.16%
Min EPS beat(2)12.37%
Max EPS beat(2)19.96%
EPS beat(4)4
Avg EPS beat(4)17.5%
Min EPS beat(4)8.07%
Max EPS beat(4)29.6%
EPS beat(8)8
Avg EPS beat(8)13.84%
EPS beat(12)10
Avg EPS beat(12)11.08%
EPS beat(16)14
Avg EPS beat(16)13.86%
Revenue beat(2)0
Avg Revenue beat(2)-1.96%
Min Revenue beat(2)-2.02%
Max Revenue beat(2)-1.91%
Revenue beat(4)0
Avg Revenue beat(4)-1.73%
Min Revenue beat(4)-2.02%
Max Revenue beat(4)-1.36%
Revenue beat(8)1
Avg Revenue beat(8)-1.24%
Revenue beat(12)1
Avg Revenue beat(12)-1.49%
Revenue beat(16)2
Avg Revenue beat(16)-1.3%
PT rev (1m)-0.35%
PT rev (3m)3.83%
EPS NQ rev (1m)36.79%
EPS NQ rev (3m)31.84%
EPS NY rev (1m)12.59%
EPS NY rev (3m)12.59%
Revenue NQ rev (1m)3.62%
Revenue NQ rev (3m)3.62%
Revenue NY rev (1m)0.78%
Revenue NY rev (3m)0.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.24 | ||
| Fwd PE | 8.81 | ||
| P/S | 1.16 | ||
| P/FCF | 16.28 | ||
| P/OCF | 12.5 | ||
| P/B | 3.42 | ||
| P/tB | 6.28 | ||
| EV/EBITDA | 24.59 |
EPS(TTM)0.91
EY8.17%
EPS(NY)1.26
Fwd EY11.35%
FCF(TTM)0.68
FCFY6.14%
OCF(TTM)0.89
OCFY8%
SpS9.57
BVpS3.26
TBVpS1.77
PEG (NY)0.24
PEG (5Y)N/A
Graham Number8.17
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.47% | ||
| ROE | 2.5% | ||
| ROCE | 1.81% | ||
| ROIC | 1.43% | ||
| ROICexc | 1.82% | ||
| ROICexgc | 3.78% | ||
| OM | 0.69% | ||
| PM (TTM) | 0.85% | ||
| GM | 61% | ||
| FCFM | 7.15% |
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-Score9
Asset Turnover1.73
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 58.29% | ||
| Cap/Sales | 2.16% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 211.61% | ||
| Profit Quality | 840.83% | ||
| Current Ratio | 1.24 | ||
| Quick Ratio | 0.95 | ||
| Altman-Z | 3.55 |
F-Score9
WACC10.9%
ROIC/WACC0.13
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)54.24%
EPS 3Y10.25%
EPS 5YN/A
EPS Q2Q%58.82%
EPS Next Y50.61%
EPS Next 2Y37.36%
EPS Next 3Y28.02%
EPS Next 5Y26.41%
Revenue 1Y (TTM)4.22%
Revenue growth 3Y10.13%
Revenue growth 5Y11.12%
Sales Q2Q%3.84%
Revenue Next Year5.34%
Revenue Next 2Y11.45%
Revenue Next 3Y8.73%
Revenue Next 5Y6.53%
EBIT growth 1Y120.32%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year78.67%
EBIT Next 3Y39.89%
EBIT Next 5Y29.47%
FCF growth 1Y386.6%
FCF growth 3Y101.61%
FCF growth 5YN/A
OCF growth 1Y144.34%
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 5 / 10 to OOMA.
What is the valuation status for OOMA stock?
ChartMill assigns a valuation rating of 8 / 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 4 / 10.
What is the earnings growth outlook for OOMA INC?
The Earnings per Share (EPS) of OOMA INC (OOMA) is expected to grow by 50.61% in the next year.