Citizens Jmp Issues Positive Estimate for Ooma Earnings

Key Points

• Citizens JMP raised Ooma’s Q3 2027 EPS estimate to $0.21 from $0.20 and projected FY2027, FY2028 and FY2029 earnings of $0.83, $0.96 and $1.20 per share, respectively.
• Ooma’s latest quarterly results exceeded expectations, with EPS of $0.35 versus the $0.33 consensus and revenue of $83.23 million compared with estimates of $81.72 million.
• Analyst sentiment remains favorable: five analysts rate the stock Buy and one rates it Hold, resulting in a “Moderate Buy” consensus and an average price target of $25.

Ooma, Inc. (NYSE:OOMA - Free Report) - Stock analysts at Citizens Jmp upped their Q3 2027 EPS estimates for Ooma in a research report issued to clients and investors on Thursday, August 27th. Citizens Jmp analyst P. Walravens now anticipates that the technology company will earn $0.21 per share for the quarter, up from their previous forecast of $0.20. The consensus estimate for Ooma's current full-year earnings is $0.86 per share. Citizens Jmp also issued estimates for Ooma's Q4 2027 earnings at $0.18 EPS, FY2027 earnings at $0.83 EPS, Q1 2028 earnings at $0.22 EPS, Q2 2028 earnings at $0.24 EPS, Q3 2028 earnings at $0.24 EPS, Q4 2028 earnings at $0.25 EPS, FY2028 earnings at $0.96 EPS, Q1 2029 earnings at $0.28 EPS, Q2 2029 earnings at $0.31 EPS and FY2029 earnings at $1.20 EPS.

Ooma (NYSE:OOMA - Get Free Report) last issued its earnings results on Wednesday, August 26th. The technology company reported $0.35 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.33 by $0.02. The business had revenue of $83.23 million during the quarter, compared to the consensus estimate 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.

A number of other equities research analysts also recently issued reports on the stock. Benchmark reiterated a "buy" rating on shares of Ooma in a research report on Monday, August 17th. William Blair set a $24.00 price objective on Ooma in a report on Monday, August 17th. UBS Group reiterated a "buy" rating on shares of Ooma in a research report on Thursday, August 27th. Alliance Global Partners reiterated a "buy" rating on shares of Ooma in a research report on Thursday, August 27th. Finally, Citigroup restated a "market perform" rating on shares of Ooma in a research report on Wednesday, May 27th. Five equities research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $25.00.

Ooma Stock Up 2.9%

OOMA stock opened at $22.51 on Thursday. The company has a current ratio of 0.94, a quick ratio of 0.69 and a debt-to-equity ratio of 0.50. The company's 50-day moving average price is $20.71 and its 200 day moving average price is $17.43. Ooma has a 52 week low of $9.79 and a 52 week high of $26.19. The company has a market cap of $619.00 million, a P/E ratio of 59.24 and a beta of 1.20.

Insider Activity

In other Ooma news, CEO Eric B. Stang sold 23,212 shares of the stock in a transaction on Friday, July 10th. The stock was sold at an average price of $20.00, for a total transaction of $464,240.00. Following the transaction, the chief executive officer owned 795,506 shares of the company's stock, valued at $15,910,120. This represents a 2.84% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this link. Also, Director William D. Pearce sold 3,000 shares of the firm's stock in a transaction on Wednesday, June 10th. The stock was sold at an average price of $17.98, for a total value of $53,940.00. Following the sale, the director owned 181,652 shares in the company, valued at $3,266,102.96. This trade represents a 1.62% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 111,922 shares of company stock valued at $2,240,861 over the last quarter. Insiders own 9.90% of the company's stock.

Institutional Trading of Ooma

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. IFC & Insurance Marketing Inc. purchased a new position in shares of Ooma during the 4th quarter worth about $34,000. Tower Research Capital LLC TRC grew its stake in shares of Ooma by 225.2% during the 2nd quarter. Tower Research Capital LLC TRC now owns 3,620 shares of the technology company's stock valued at $47,000 after buying an additional 2,507 shares during the period. Meeder Asset Management Inc. raised its position in shares of 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 buying an additional 740 shares during the period. Legal & General Group Plc acquired a new stake in Ooma during the second quarter worth about $50,000. Finally, CWM LLC lifted its stake in shares of Ooma by 45.6% in the 4th quarter. CWM LLC now owns 4,400 shares of the technology company's stock valued at $52,000 after purchasing an additional 1,378 shares in the last quarter. Hedge funds and other institutional investors own 80.42% of the company's stock.

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.

About Ooma

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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