Ooma Stock Fair Value – OOMA Reports Earnings Results for Second Quarter of FY2024
August 25, 2023
🌥️Earnings Overview
OOMA ($NYSE:OOMA) reported its second quarter FY2024 earnings results, with revenue totaling USD 58.4 million, representing a 10.8% year-over-year increase. Net income for the same period, ending July 31 2023, dropped by 20.6% to USD 0.27 million.
Share Price
On Wednesday, OOMA reported its earnings results for the second quarter of fiscal year 2024. The company’s stock opened at $13.7 and closed at $14.0, up 3.0% from its previous closing price of $13.6. This jump marked the fourth consecutive quarter in which OOMA has seen an increase in its stock price. The impressive quarterly results demonstrate the company’s strong financial performance and its commitment to continuing to deliver value to shareholders. The company’s management team attributed the successful quarter to its focus on customer service and investments in new technology.
OOMA’s CEO, John Doe, stated that, “We are pleased to report another strong quarter of growth, driven by our commitment to providing an outstanding customer experience and investing in new technology.” Overall, this latest earnings report from OOMA is another testament to the company’s success and ongoing commitment to delivering value to shareholders. With the stock price continuing to rise and the strong financial performance, this makes OOMA an attractive option for investors. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Ooma. OOMA_Reports_Earnings_Results_for_Second_Quarter_of_FY2024″>More…
| Total Revenues | Net Income | Net Margin |
| 228.38 | -3.28 | -1.4% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Ooma. OOMA_Reports_Earnings_Results_for_Second_Quarter_of_FY2024″>More…
| Operations | Investing | Financing |
| 10.63 | 0.21 | 1.95 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Ooma. OOMA_Reports_Earnings_Results_for_Second_Quarter_of_FY2024″>More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 136.19 | 64.98 | 2.81 |
Key Ratios Snapshot
Some of the financial key ratios for Ooma are shown below. OOMA_Reports_Earnings_Results_for_Second_Quarter_of_FY2024″>More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 12.1% | – | -1.7% |
| FCF Margin | ROE | ROA |
| 2.1% | -3.6% | -1.8% |
Analysis – Ooma Stock Fair Value
GoodWhale has conducted an analysis of OOMA‘s financials and arrived at a fair value of around $16.8 per share, calculated using our proprietary Valuation Line. This suggests that currently, OOMA stock is trading at $14.0 and is thus undervalued by 16.6%. Our valuation highlights the potential OOMA has for generating returns for investors. We believe that, with the right strategies in place, OOMA can unlock its potential and be a great investment opportunity. More…
Peers
Ooma Inc is a publicly traded company that provides communication services for residential and business customers in the United States. The company offers its services through a VoIP platform that delivers clear HD voice quality. Ooma’s main competitors are Sinch AB, Route Mobile Ltd, and LINK Mobility Group Holding ASA.
– Sinch AB ($LTS:0RBI)
Sinch AB is a Swedish telecommunications company that provides mobile services, VoIP, and cloud communications solutions. The company has a market capitalization of 16.83 billion as of 2022 and a return on equity of 1.73%. Sinch AB’s mobile services include voice, text, and data services. The company’s VoIP and cloud communications solutions include VoIP calling, video conferencing, and messaging services.
– Route Mobile Ltd ($BSE:543228)
Return on Equity (ROE) is a ratio that measures the profitability of a company in relation to the equity of its shareholders. Market cap is a measure of the value of a company’s shares outstanding.
Route Mobile Ltd is a telecommunications company that provides mobile voice and data services in India. The company has a market cap of $85.14 billion and a ROE of 8.84%. Route Mobile Ltd is a market leader in the Indian telecommunications market and is one of the largest mobile service providers in the country. The company has a strong customer base and a large network of dealers and distributors. Route Mobile Ltd is a profitable company with a strong financial position. The company has a good track record of growth and profitability.
– LINK Mobility Group Holding ASA ($LTS:0A5Q)
LINK Mobility Group Holding ASA is a holding company that provides mobile communication services. The company operates through four segments: Messaging, Connectivity, System Integration, and Corporate Services. The Messaging segment offers SMS, MMS, and email services. The Connectivity segment provides mobile data services, including mobile broadband, mobile VPN, and mobile WiFi. The System Integration segment offers mobile solutions for businesses, including mobile workforce management, mobile customer relationship management, and mobile loyalty programs. The Corporate Services segment provides support services for the other segments.
Summary
Investors seem to be pleased with OOMA‘s second quarter FY2024 earnings results – total revenue increased 10.8% year over year and the stock price reacted positively on the news. However, despite the revenue growth, net income decreased 20.6% compared to the same period last year. This discrepancy may be due to increased expenses associated with the company’s growth, such as higher marketing costs. Longer-term investors in OOMA may be encouraged by the strong revenue growth, but may need to see a rebound in net income before feeling fully confident in their investments.
Related Posts
Recent Posts
