OOMA INC (OOMA) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:OOMA - US6834161019 - Common Stock
11.56 USD
+0.27 (+2.39%)
11.56 USD
0 (0%)
Taking everything into account, OOMA scores 5 out of 10 in our fundamental rating. OOMA was compared to 278 industry peers in the Software industry. Both the profitability and the financial health of OOMA get a neutral evaluation. Nothing too spectacular is happening here. OOMA is valued quite cheap, while showing a decent growth score. This is a good 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.
In the past 5 years OOMA always reported a positive cash flow from operatings.
1.2 Ratios
OOMA has a Return On Assets of 1.47%. This is in the better half of the industry: OOMA outperforms 61.15% of its industry peers.
OOMA has a Return On Equity of 2.50%. This is in the better half of the industry: OOMA outperforms 63.31% of its industry peers.
OOMA has a better Return On Invested Capital (1.43%) than 64.39% of its industry peers.
| 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
Looking at the Profit Margin, with a value of 0.85%, OOMA is in line with its industry, outperforming 59.71% of the companies in the same industry.
Looking at the Operating Margin, with a value of 0.69%, OOMA is in line with its industry, outperforming 59.35% of the companies in the same industry.
OOMA has a Gross Margin of 61.00%. This is in the lower half of the industry: OOMA underperforms 61.15% of its industry peers.
OOMA's Gross Margin has been stable in the last couple of years.
| 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
OOMA has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it 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 3.59 indicates that OOMA is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 3.59, OOMA is doing good in the industry, outperforming 63.31% of the companies in the same industry.
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 | 3.59 |
ROIC/WACC0.13
WACC11%
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.
The Current ratio of OOMA (1.24) is worse than 63.31% of its industry peers.
A Quick Ratio of 0.95 indicates that OOMA may have some problems paying its short term obligations.
With a Quick ratio value of 0.95, OOMA is not doing good in the industry: 75.54% of the companies in the same industry are doing better.
| 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.
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 4.22%.
Measured over the past years, OOMA shows a quite strong growth in Revenue. The Revenue has been growing by 11.12% on average per year.
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.
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
Based on the Price/Earnings ratio of 12.70, the valuation of OOMA can be described as correct.
Compared to the rest of the industry, the Price/Earnings ratio of OOMA indicates a rather cheap valuation: OOMA is cheaper than 85.97% of the companies listed in the same industry.
OOMA is valuated cheaply when we compare the Price/Earnings ratio to 26.59, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 10.75, the valuation of OOMA can be described as reasonable.
86.33% of the companies in the same industry are more expensive than OOMA, based on the Price/Forward Earnings ratio.
OOMA's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.03.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.7 | ||
| Fwd PE | 10.75 |
4.2 Price Multiples
74.10% of the companies in the same industry are more expensive than OOMA, based on the Enterprise Value to EBITDA ratio.
84.53% 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 | 16.89 | ||
| EV/EBITDA | 24.94 |
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)0.38
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 | 0% |
11.56
+0.27 (+2.39%)
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-4.61%
Market Cap319.06M
Revenue(TTM)264.12M
Net Income(TTM)2.25M
Analysts81.67
Price TargetN/A
Short Float %2.48%
Short Ratio3.69
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)4.2%
PT rev (3m)4.2%
EPS NQ rev (1m)27.49%
EPS NQ rev (3m)27.49%
EPS NY rev (1m)0%
EPS NY rev (3m)9.34%
Revenue NQ rev (1m)3.62%
Revenue NQ rev (3m)3.62%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.7 | ||
| Fwd PE | 10.75 | ||
| P/S | 1.21 | ||
| P/FCF | 16.89 | ||
| P/OCF | 12.97 | ||
| P/B | 3.55 | ||
| P/tB | 6.52 | ||
| EV/EBITDA | 24.94 |
EPS(TTM)0.91
EY7.87%
EPS(NY)1.08
Fwd EY9.31%
FCF(TTM)0.68
FCFY5.92%
OCF(TTM)0.89
OCFY7.71%
SpS9.57
BVpS3.26
TBVpS1.77
PEG (NY)0.38
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 | 3.59 |
F-Score9
WACC11%
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 Y33.77%
EPS Next 2Y26.71%
EPS Next 3Y24.41%
EPS Next 5Y26.41%
Revenue 1Y (TTM)4.22%
Revenue growth 3Y10.13%
Revenue growth 5Y11.12%
Sales Q2Q%3.84%
Revenue Next Year4.53%
Revenue Next 2Y7.97%
Revenue Next 3Y5.36%
Revenue Next 5Y6.53%
EBIT growth 1Y120.32%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year60.83%
EBIT Next 3Y38.41%
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 of OOMA INC (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 are the PE and PB ratios of OOMA INC (OOMA) stock?
The Price/Earnings (PE) ratio for OOMA INC (OOMA) is 12.7 and the Price/Book (PB) ratio is 3.55.