OOMA INC (OOMA) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:OOMA • US6834161019
11.75 USD
+0.13 (+1.12%)
At close: Jan 30, 2026
11.75 USD
0 (0%)
After Hours: 1/30/2026, 8:11:45 PM
We assign a fundamental rating of 5 out of 10 to OOMA. OOMA was compared to 278 industry peers in the Software industry. OOMA has only an average score on both its financial health and profitability. OOMA is growing strongly while it also seems undervalued. This is 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.
- OOMA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- OOMA has a better Return On Assets (1.47%) than 60.43% of its industry peers.
- Looking at the Return On Equity, with a value of 2.50%, OOMA is in the better half of the industry, outperforming 62.23% of the companies in the same industry.
- OOMA has a Return On Invested Capital of 1.43%. This is in the better half of the industry: OOMA outperforms 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
- OOMA has a Profit Margin (0.85%) which is comparable to the rest of the industry.
- The Operating Margin of OOMA (0.69%) is comparable to the rest of the industry.
- OOMA has a Gross Margin of 61.00%. This is in the lower half of the industry: OOMA underperforms 61.87% 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.
- The number of shares outstanding for OOMA has been increased compared to 5 years ago.
- 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
- OOMA has an Altman-Z score of 3.71. This indicates that OOMA is financially healthy and has little risk of bankruptcy at the moment.
- OOMA's Altman-Z score of 3.71 is fine compared to the rest of the industry. OOMA outperforms 67.99% 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 | 3.71 |
ROIC/WACC0.13
WACC11.04%
2.3 Liquidity
- A Current Ratio of 1.24 indicates that OOMA should not have too much problems paying its short term obligations.
- Looking at the Current ratio, with a value of 1.24, OOMA is doing worse than 64.03% 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's Quick ratio of 0.95 is on the low side compared to the rest of the industry. OOMA is outperformed by 75.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.24 | ||
| Quick Ratio | 0.95 |
3. Growth
3.1 Past
- OOMA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 54.24%, 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.
- Looking at the last year, OOMA shows a small growth in Revenue. The Revenue has grown by 4.22% in the last year.
- 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
- The Earnings Per Share is expected to grow by 26.05% on average over the next years. This is a very strong growth
- OOMA is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.54% yearly.
EPS Next Y53.63%
EPS Next 2Y35.54%
EPS Next 3Y26.69%
EPS Next 5Y26.05%
Revenue Next Year5.85%
Revenue Next 2Y12.33%
Revenue Next 3Y9.38%
Revenue Next 5Y9.54%
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.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 12.91, which indicates a correct valuation of OOMA.
- OOMA's Price/Earnings ratio is rather cheap when compared to the industry. OOMA is cheaper than 83.45% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 28.32. OOMA is valued rather cheaply when compared to this.
- A Price/Forward Earnings ratio of 9.55 indicates a reasonable valuation of OOMA.
- OOMA's Price/Forward Earnings ratio is rather cheap when compared to the industry. OOMA is cheaper than 88.13% of the companies in the same industry.
- OOMA is valuated cheaply when we compare the Price/Forward Earnings ratio to 25.57, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.91 | ||
| Fwd PE | 9.55 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, OOMA is valued a bit cheaper than the industry average as 70.86% of the companies are valued more expensively.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of OOMA indicates a rather cheap valuation: OOMA is cheaper than 80.22% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.17 | ||
| EV/EBITDA | 26.04 |
4.3 Compensation for Growth
- OOMA's 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 26.69% in the coming years.
PEG (NY)0.24
PEG (5Y)N/A
EPS Next 2Y35.54%
EPS Next 3Y26.69%
5. Dividend
5.1 Amount
- No dividends for OOMA!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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 53.63% in the next year.