Benchmark Has Positive Forecast for Ooma FY2027 Earnings

Ooma, Inc. (NYSE:OOMA) – Investment analysts at Benchmark increased their FY2027 EPS estimates for Ooma in a research note issued to investors on Thursday, August 27th. Benchmark analyst M. Harrigan now expects that the technology company will post earnings per share of $0.89 for the year, up from their previous estimate of $0.83. Benchmark currently has a “Buy” rating on the stock. The consensus estimate for Ooma’s current full-year earnings is $0.86 per share. Benchmark also issued estimates for Ooma’s Q4 2027 earnings at $0.22 EPS and FY2028 earnings at $1.03 EPS.

A number of other equities research analysts have also recently commented on OOMA. UBS Group reissued a “buy” rating on shares of Ooma in a research note on Thursday, August 27th. Alliance Global Partners reaffirmed a “buy” rating on shares of Ooma in a research report on Thursday, August 27th. Lake Street Capital reiterated a “buy” rating and issued a $25.00 price target on shares of Ooma in a research note on Thursday, August 27th. William Blair set a $24.00 price objective on shares of Ooma in a research report on Monday, August 17th. Finally, B. Riley Financial raised their price objective on shares of Ooma from $24.00 to $27.00 and gave the company a “buy” rating in a research note on Thursday, August 27th. Five analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat, Ooma presently has an average rating of “Moderate Buy” and an average target price of $25.00.

Ooma Stock Up 2.9%

Shares of NYSE:OOMA opened at $22.51 on Thursday. The stock has a fifty day simple moving average of $20.71 and a two-hundred day simple moving average of $17.43. The stock has a market capitalization of $619.00 million, a price-to-earnings ratio of 59.24 and a beta of 1.20. Ooma has a 12-month low of $9.79 and a 12-month high of $26.19. The company has a current ratio of 0.94, a quick ratio of 0.69 and a debt-to-equity ratio of 0.50.

Ooma (NYSE:OOMA) last issued its quarterly earnings results on Wednesday, August 26th. The technology company reported $0.35 EPS for the quarter, topping analysts’ consensus estimates of $0.33 by $0.02. The firm had revenue of $83.23 million for the quarter, compared to analysts’ expectations of $81.72 million. Ooma had a return on equity of 23.89% and a net margin of 3.57%.Ooma has set its FY 2027 guidance at 1.350-1.380 EPS and its Q3 2027 guidance at 0.340-0.350 EPS.

Institutional Trading of Ooma

Institutional investors have recently made changes to their positions in the business. IFC & Insurance Marketing Inc. bought a new stake in Ooma during the 4th quarter valued at approximately $34,000. Tower Research Capital LLC TRC boosted its stake in Ooma by 225.2% in the 2nd quarter. Tower Research Capital LLC TRC now owns 3,620 shares of the technology company’s stock worth $47,000 after purchasing an additional 2,507 shares during the period. Meeder Asset Management Inc. boosted its stake in Ooma by 28.3% in the 1st quarter. Meeder Asset Management Inc. now owns 3,359 shares of the technology company’s stock worth $49,000 after purchasing an additional 740 shares during the period. Legal & General Group Plc purchased a new stake in Ooma during the 2nd quarter valued at approximately $50,000. Finally, CWM LLC raised its position in shares of Ooma by 45.6% during the fourth quarter. CWM LLC now owns 4,400 shares of the technology company’s stock valued at $52,000 after buying an additional 1,378 shares during the last quarter. Hedge funds and other institutional investors own 80.42% of the company’s stock.

Insider Buying and Selling at Ooma

In related news, Director Russell Mann sold 20,000 shares of the business’s stock in a transaction that occurred on Wednesday, June 24th. The stock was sold at an average price of $18.35, for a total transaction of $367,000.00. Following the completion of the transaction, the director directly owned 116,115 shares in the company, valued at approximately $2,130,710.25. The trade was a 14.69% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, SVP Jenny C. Yeh sold 20,966 shares of the company’s stock in a transaction that occurred on Thursday, August 27th. The stock was sold at an average price of $24.05, for a total transaction of $504,232.30. Following the completion of the transaction, the senior vice president owned 237,649 shares of the company’s stock, valued at approximately $5,715,458.45. The trade was a 8.11% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 111,922 shares of company stock worth $2,240,861. 9.90% of the stock is owned by corporate insiders.

Trending Headlines about Ooma

Here are the key news stories impacting Ooma this week:

• Positive Sentiment: Analysts raised longer-term earnings forecasts. Lake Street Capital increased its FY2027 EPS estimate to $0.86 from $0.79 and its FY2028 estimate to $0.86 from $0.83. Benchmark raised FY2027 EPS to $0.89 from $0.83 and FY2028 EPS to $1.03 from $0.98. Citizens JMP also lifted its FY2027 estimate to $0.83 from $0.77 and FY2028 estimate to $0.96 from $0.90. These revisions suggest improving confidence in Ooma’s earnings growth.
• Positive Sentiment: Quarterly forecast revisions were mostly upward. Analysts raised estimates for several 2027-2029 quarters, including Citizens JMP’s Q4 2027 estimate, which increased to $0.18 from $0.16, and Lake Street’s Q1 2028 estimate, which increased to $0.22 from $0.20.
• Positive Sentiment: Buy ratings and investor engagement provide additional support. Lake Street Capital and Benchmark maintain “Buy” ratings. Lake Street’s $25 price target is above the stock’s recent trading level. Ooma also plans virtual meetings with institutional investors during the NYSE Investor Access Technology Day on September 23. Ooma investor meetings announcement
• Neutral Sentiment: Ooma launched a POTS retirement resource hub to help organizations transition away from legacy copper infrastructure. The initiative may support demand for Ooma’s services, although the immediate financial impact is unclear. Ooma POTS retirement resource hub announcement
• Negative Sentiment: Not all revisions were positive. Citizens JMP trimmed its Q1 2029 EPS estimate to $0.28 from $0.29, reduced Q3 2028 EPS to $0.24 from $0.25, and lowered FY2029 EPS to $1.20 from $1.21. Lake Street also cut its Q4 2027 estimate slightly to $0.19 from $0.20.

Ooma Company Profile

Ooma, Inc, headquartered in Sunnyvale, California, is a leading provider of communication services for residential and business customers. Since its founding in 2004, Ooma has built a cloud-based platform that leverages Voice over Internet Protocol (VoIP) technology to deliver voice, video and data services over broadband networks. The company went public on the New York Stock Exchange in 2015 under the ticker OOMA and has continued to expand its service portfolio to meet evolving customer demands.

For residential users, Ooma offers an all-in-one home phone service that includes its flagship Telo device, mobile and web applications, and optional smart home security features.