North Star Investment Management Corp. Purchases Shares of 60,000 Ooma, Inc. $OOMA

Key Points

• North Star Investment Management disclosed a new first-quarter stake in Ooma, buying 60,000 shares worth about $873,000, while institutional ownership of the stock remains high at 80.42%.
• Ooma shares were up 5.4% to $19.45, and the company recently reported better-than-expected quarterly results with EPS of $0.35 versus $0.32 expected and revenue of $81.15 million versus $79.84 million expected.
• Analysts currently have a Moderate Buy consensus on Ooma with a $22.33 average price target, though recent insider activity included share sales by CEO Eric B. Stang and Director William D. Pearce.

North Star Investment Management Corp. purchased a new stake in shares of Ooma, Inc. (NYSE:OOMA - Free Report) during the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The fund purchased 60,000 shares of the technology company's stock, valued at approximately $873,000. North Star Investment Management Corp. owned about 0.22% of Ooma at the end of the most recent quarter.

Other hedge funds and other institutional investors have also made changes to their positions in the company. IFC & Insurance Marketing Inc. bought a new position in Ooma in the 4th quarter worth approximately $34,000. Tower Research Capital LLC TRC raised its stake in 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 acquiring an additional 2,507 shares in the last quarter. CWM LLC boosted its position in Ooma by 45.6% during the 4th quarter. CWM LLC now owns 4,400 shares of the technology company's stock worth $52,000 after acquiring an additional 1,378 shares during the period. Royal Bank of Canada boosted its position in Ooma by 24.1% during the 4th quarter. Royal Bank of Canada now owns 4,466 shares of the technology company's stock worth $53,000 after acquiring an additional 867 shares during the period. Finally, Kemnay Advisory Services Inc. bought a new position in shares of Ooma in the fourth quarter worth $59,000. 80.42% of the stock is currently owned by institutional investors and hedge funds.

Ooma Trading Up 5.4%

Ooma stock opened at $19.45 on Tuesday. The firm has a market cap of $534.79 million, a price-to-earnings ratio of 60.77 and a beta of 1.22. Ooma, Inc. has a 1 year low of $9.79 and a 1 year high of $21.96. The firm's 50 day moving average price is $17.72 and its two-hundred day moving average price is $14.40. The company has a debt-to-equity ratio of 0.50, a quick ratio of 0.69 and a current ratio of 0.94.

Ooma (NYSE:OOMA - Get Free Report) last announced its quarterly earnings data on Tuesday, May 26th. The technology company reported $0.35 EPS for the quarter, beating analysts' consensus estimates of $0.32 by $0.03. The company had revenue of $81.15 million during the quarter, compared to the consensus estimate of $79.84 million. Ooma had a return on equity of 20.21% and a net margin of 3.17%.Ooma has set its FY 2027 guidance at 1.290-1.340 EPS and its Q2 2027 guidance at 0.330-0.340 EPS. On average, research analysts predict that Ooma, Inc. will post 0.8 EPS for the current fiscal year.

Analysts Set New Price Targets

A number of research analysts have recently commented on the company. Benchmark reissued a "buy" rating on shares of Ooma in a report on Thursday, March 5th. UBS Group set a $24.00 price objective on shares of Ooma in a report on Wednesday, May 27th. Citigroup reiterated a "market perform" rating on shares of Ooma in a research report on Wednesday, May 27th. Alliance Global Partners reissued a "buy" rating on shares of Ooma in a research note on Wednesday, May 27th. Finally, B. Riley Financial restated a "buy" rating on shares of Ooma in a research report on Monday, May 18th. Four research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $22.33.

Insider Buying and Selling

In other Ooma news, CEO Eric B. Stang sold 27,666 shares of the business's stock in a transaction dated Wednesday, June 24th. The stock was sold at an average price of $18.50, for a total transaction of $511,821.00. Following the sale, the chief executive officer owned 818,718 shares in the company, valued at approximately $15,146,283. The trade was a 3.27% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director William D. Pearce sold 3,000 shares of the company's stock in a transaction dated Wednesday, June 10th. The shares were sold at an average price of $17.98, for a total transaction of $53,940.00. Following the sale, the director directly owned 181,652 shares of the company's stock, valued at $3,266,102.96. This represents a 1.62% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders have sold 78,362 shares of company stock worth $1,421,318. Company insiders own 9.90% of the company's stock.

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.

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