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%)
We assign a fundamental rating of 4 out of 10 to OOMA. OOMA was compared to 280 industry peers in the Software industry. While OOMA seems to be doing ok healthwise, there are quite some concerns on its profitability. OOMA scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year OOMA was profitable.
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 (-1.00%) which is in line with its industry peers.
OOMA has a Return On Equity (-1.70%) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1% | ||
| ROE | -1.7% | ||
| ROIC | N/A |
ROA(3y)-2.66%
ROA(5y)-2.46%
ROE(3y)-5.02%
ROE(5y)-4.93%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
OOMA has a Gross Margin of 61.02%. This is in the lower half of the industry: OOMA underperforms 61.35% 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.
OOMA has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, OOMA has more shares outstanding
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.
2.2 Solvency
An Altman-Z score of 3.62 indicates that OOMA is not in any danger for bankruptcy at the moment.
OOMA has a Altman-Z score of 3.62. This is in the better half of the industry: OOMA outperforms 63.83% of its industry peers.
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 | 3.62 |
ROIC/WACCN/A
WACC10.87%
2.3 Liquidity
OOMA has a Current Ratio of 1.20. This is a normal value and indicates that OOMA is financially healthy and should not expect problems in meeting its short term obligations.
The Current ratio of OOMA (1.20) is worse than 64.54% of its industry peers.
A Quick Ratio of 0.90 indicates that OOMA may have some problems paying its short term obligations.
With a Quick ratio value of 0.90, OOMA is not doing good in the industry: 77.66% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.2 | ||
| Quick Ratio | 0.9 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 42.11% over the past year.
The Earnings Per Share has been growing by 10.25% on average over the past years. This is quite good.
OOMA shows a small growth in Revenue. In the last year, the Revenue has grown by 5.42%.
The Revenue has been growing by 11.12% on average over the past years. This is quite good.
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.
OOMA is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.53% yearly.
EPS Next Y33.77%
EPS Next 2Y26.71%
EPS Next 3Y24.41%
EPS Next 5Y26.41%
Revenue Next Year4.53%
Revenue Next 2Y7.97%
Revenue Next 3Y5.36%
Revenue Next 5Y6.53%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
A Price/Earnings ratio of 14.49 indicates a correct valuation of OOMA.
Compared to the rest of the industry, the Price/Earnings ratio of OOMA indicates a rather cheap valuation: OOMA is cheaper than 83.69% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of OOMA to the average of the S&P500 Index (26.49), we can say OOMA is valued slightly cheaper.
The Price/Forward Earnings ratio is 10.91, which indicates a very decent valuation of OOMA.
85.46% of the companies in the same industry are more expensive than OOMA, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 23.69. OOMA is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.49 | ||
| Fwd PE | 10.91 |
4.2 Price Multiples
OOMA's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. OOMA is cheaper than 65.25% of the companies in the same industry.
84.40% of the companies in the same industry are more expensive than OOMA, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.04 | ||
| EV/EBITDA | 37.66 |
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 24.41% in the coming years.
PEG (NY)0.43
PEG (5Y)N/A
EPS Next 2Y26.71%
EPS Next 3Y24.41%
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-5.35%
Market Cap324.02M
Revenue(TTM)261.62M
Net Income(TTM)-1.50M
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)2.32%
EPS NY rev (1m)0%
EPS NY rev (3m)9.34%
Revenue NQ rev (1m)-2.27%
Revenue NQ rev (3m)0.06%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.49 | ||
| Fwd PE | 10.91 | ||
| P/S | 1.24 | ||
| P/FCF | 16.04 | ||
| P/OCF | 12.46 | ||
| P/B | 3.68 | ||
| P/tB | 7.04 | ||
| EV/EBITDA | 37.66 |
EPS(TTM)0.81
EY6.9%
EPS(NY)1.08
Fwd EY9.16%
FCF(TTM)0.73
FCFY6.23%
OCF(TTM)0.94
OCFY8.02%
SpS9.48
BVpS3.19
TBVpS1.67
PEG (NY)0.43
PEG (5Y)N/A
Graham Number7.62
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -1% | ||
| ROE | -1.7% | ||
| 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)-5.02%
ROE(5y)-4.93%
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 | 58.98% | ||
| Cap/Sales | 2.22% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 321.62% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.2 | ||
| Quick Ratio | 0.9 | ||
| Altman-Z | 3.62 |
F-Score7
WACC10.87%
ROIC/WACCN/A
Cap/Depr(3y)75.61%
Cap/Depr(5y)79.49%
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 2Y26.71%
EPS Next 3Y24.41%
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 2Y7.97%
Revenue Next 3Y5.36%
Revenue Next 5Y6.53%
EBIT growth 1Y77.38%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year60.83%
EBIT Next 3Y38.41%
EBIT Next 5Y29.47%
FCF growth 1Y328.88%
FCF growth 3Y102.91%
FCF growth 5YN/A
OCF growth 1Y144.59%
OCF growth 3Y59.45%
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.