Ooma (NYSE:OOMA) Reaches New 52-Week High – Still a Buy?

Ooma, Inc. (NYSE:OOMA)’s stock price hit a new 52-week high during trading on Tuesday . The company traded as high as $22.04 and last traded at $21.9750, with a volume of 246487 shares. The stock had previously closed at $20.78.

Wall Street Analysts Forecast Growth

Several research analysts recently issued reports on OOMA shares. UBS Group set a $24.00 target price on Ooma in a research report on Wednesday, May 27th. Citigroup restated a “market perform” rating on shares of Ooma in a research report on Wednesday, May 27th. B. Riley Financial reaffirmed a “buy” rating on shares of Ooma in a research note on Monday, May 18th. Lake Street Capital increased their target price on shares of Ooma from $18.00 to $23.00 and gave the company a “buy” rating in a research report on Wednesday, May 27th. Finally, Alliance Global Partners restated a “buy” rating on shares of Ooma in a report on Wednesday, May 27th. Four analysts have rated the stock with a Buy rating and two have given a Hold rating to the stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $22.33.

Ooma Stock Performance

The company has a debt-to-equity ratio of 0.50, a current ratio of 0.94 and a quick ratio of 0.69. The stock has a fifty day simple moving average of $18.77 and a two-hundred day simple moving average of $15.61. The firm has a market capitalization of $599.91 million, a P/E ratio of 68.17 and a beta of 1.20.

Ooma (NYSE:OOMA) last announced its quarterly earnings data on Tuesday, May 26th. The technology company reported $0.35 EPS for the quarter, topping the consensus estimate 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 net margin of 3.17% and a return on equity of 20.21%. 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 year.

Insider Transactions at Ooma

In related news, CEO Eric B. Stang sold 23,212 shares of the company’s 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 completion of the sale, the chief executive officer owned 795,506 shares in the company, valued at approximately $15,910,120. This represents a 2.84% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, SVP Jenny C. Yeh sold 2,481 shares of the business’s stock in a transaction dated Tuesday, July 7th. The stock was sold at an average price of $20.03, for a total transaction of $49,694.43. Following the transaction, the senior vice president owned 262,134 shares in the company, valued at approximately $5,250,544.02. This trade represents a 0.94% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders have sold 116,895 shares of company stock valued at $2,186,532. Company insiders own 9.90% of the company’s stock.

Institutional Investors Weigh In On Ooma

Large investors have recently made changes to their positions in the business. Essential Partners LLC raised its position in Ooma by 8.3% in the first quarter. Essential Partners LLC now owns 8,197 shares of the technology company’s stock worth $119,000 after acquiring an additional 626 shares during the period. Meeder Asset Management Inc. grew its position in shares of Ooma by 28.3% during the 1st quarter. Meeder Asset Management Inc. now owns 3,359 shares of the technology company’s stock valued at $49,000 after acquiring an additional 740 shares during the period. Royal Bank of Canada grew its position in shares of Ooma by 24.1% during the 4th quarter. Royal Bank of Canada now owns 4,466 shares of the technology company’s stock valued at $53,000 after acquiring an additional 867 shares during the period. Man Group plc increased its stake in shares of Ooma by 5.1% during the 4th quarter. Man Group plc now owns 18,073 shares of the technology company’s stock worth $212,000 after purchasing an additional 880 shares during the last quarter. Finally, GSA Capital Partners LLP increased its stake in shares of Ooma by 1.0% during the 4th quarter. GSA Capital Partners LLP now owns 111,522 shares of the technology company’s stock worth $1,308,000 after purchasing an additional 1,067 shares during the last quarter. 80.42% of the stock is owned by hedge funds and other institutional investors.

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.