Ooma (NYSE:OOMA) Upgraded to Strong-Buy at Zacks Research

Zacks Research upgraded shares of Ooma (NYSE:OOMA) from a hold rating to a strong-buy rating in a research report released on Monday,Zacks reports.

A number of other research firms have also recently commented on OOMA. Alliance Global Partners reaffirmed a “buy” rating on shares of Ooma in a research report on Thursday, August 27th. UBS Group reiterated a “buy” rating on shares of Ooma in a research note on Thursday, August 27th. Citigroup reissued a “market perform” rating on shares of Ooma in a report on Monday, September 28th. Freedom Broker boosted their price objective on shares of Ooma from $24.00 to $25.00 and gave the company a “buy” rating in a report on Thursday, October 1st. Finally, William Blair set a $24.00 price target on shares of Ooma in a report on Monday, August 17th. One equities research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and one has issued a Hold rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of “Buy” and a consensus target price of $25.00.

Ooma Stock Down 4.9%

Shares of NYSE OOMA opened at $19.96 on Monday. Ooma has a 1 year low of $9.79 and a 1 year high of $26.19. The firm’s 50-day moving average is $21.72 and its 200-day moving average is $18.99. The company has a current ratio of 0.95, a quick ratio of 0.66 and a debt-to-equity ratio of 0.46. The firm has a market capitalization of $551.03 million, a PE ratio of 52.54 and a beta of 1.23.

Ooma (NYSE:OOMA) last posted its earnings results on Wednesday, August 26th. The technology company reported $0.35 earnings per share for the quarter, topping the consensus estimate of $0.33 by $0.02. The company had revenue of $83.23 million for the quarter, compared to analyst estimates of $81.72 million. Ooma had a net margin of 3.57% and a return on equity of 23.55%. Ooma has set its FY 2027 guidance at 1.350-1.380 EPS and its Q3 2027 guidance at 0.340-0.350 EPS. Equities analysts expect that Ooma will post 0.87 EPS for the current year.

Insider Buying and Selling at Ooma

In other news, SVP Jenny Yeh sold 1,747 shares of the firm’s stock in a transaction that occurred on Thursday, September 17th. The shares were sold at an average price of $23.00, for a total transaction of $40,181.00. Following the completion of the sale, the senior vice president owned 222,540 shares in the company, valued at $5,118,420. This trade represents a 0.78% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CAO Namrata Sabharwal sold 1,500 shares of the business’s stock in a transaction on Thursday, September 24th. The shares were sold at an average price of $22.16, for a total value of $33,240.00. Following the sale, the chief accounting officer owned 83,455 shares in the company, valued at approximately $1,849,362.80. The trade was a 1.77% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 110,073 shares of company stock valued at $2,469,277 in the last ninety days. 9.90% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Ooma

Hedge funds have recently made changes to their positions in the business. Squarepoint Ops LLC purchased a new position in Ooma during the second quarter valued at $244,000. Susquehanna Fundamental Investments LLC bought a new stake in shares of Ooma in the second quarter worth $549,000. Susquehanna International Group LLP increased its position in Ooma by 221.3% during the second quarter. Susquehanna International Group LLP now owns 72,537 shares of the technology company’s stock valued at $1,394,000 after acquiring an additional 49,963 shares during the last quarter. Bank of America Corp DE bought a new position in Ooma in the second quarter valued at about $1,436,000. Finally, Man Group plc bought a new position in shares of Ooma in the 2nd quarter worth approximately $878,000. 80.42% of the stock is owned by hedge funds and other institutional investors.

Ooma Company Profile

Ooma, Inc is a cloud communications company that provides voice, collaboration, and related services to small and midsize businesses, enterprises, and consumers. Its business offerings are designed to replace or complement traditional business phone systems with internet-based communications delivered through software and connected devices.

Ooma’s business products include Ooma Office, Ooma Pro, and Ooma Enterprise, which provide cloud-based phone systems, business texting, virtual extensions, conferencing, call management, and other unified communications features.