What is Lake Street Capital’s Forecast for Ooma Q3 Earnings?

Ooma, Inc. (NYSE:OOMA) – Stock analysts at Lake Street Capital lifted their Q3 2027 earnings per share (EPS) estimates for shares of Ooma in a research note issued on Thursday, August 27th. Lake Street Capital analyst E. Martinuzzi now anticipates that the technology company will post earnings per share of $0.21 for the quarter, up from their prior forecast of $0.20. Lake Street Capital currently has a “Buy” rating and a $25.00 price target on the stock. The consensus estimate for Ooma’s current full-year earnings is $0.86 per share. Lake Street Capital also issued estimates for Ooma’s Q4 2027 earnings at $0.19 EPS, FY2027 earnings at $0.86 EPS, Q1 2028 earnings at $0.22 EPS, Q3 2028 earnings at $0.21 EPS, Q4 2028 earnings at $0.24 EPS and FY2028 earnings at $0.86 EPS.

A number of other equities research analysts have also commented on the company. Alliance Global Partners reissued a “buy” rating on shares of Ooma in a research report on Thursday, August 27th. Benchmark reaffirmed a “buy” rating on shares of Ooma in a research report on Monday, August 17th. B. Riley Financial boosted their target price on Ooma from $24.00 to $27.00 and gave the stock a “buy” rating in a research note on Thursday, August 27th. William Blair set a $24.00 target price on Ooma in a research report on Monday, August 17th. Finally, Citigroup reissued a “market perform” rating on shares of Ooma in a research report on Wednesday, May 27th. Five analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat, Ooma has a consensus rating of “Moderate Buy” and a consensus target price of $25.00.

Ooma Stock Performance

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

Ooma (NYSE:OOMA) last posted its earnings results on Wednesday, August 26th. The technology company reported $0.35 EPS for the quarter, topping the consensus estimate of $0.33 by $0.02. The company had revenue of $83.23 million during the quarter, compared to the consensus estimate of $81.72 million. Ooma had a net margin of 3.57% and a return on equity of 23.89%. Ooma has set its FY 2027 guidance at 1.350-1.380 EPS and its Q3 2027 guidance at 0.340-0.350 EPS.

Insider Buying and Selling at Ooma

In other Ooma news, 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 completion of the sale, the director directly owned 181,652 shares in the company, valued at $3,266,102.96. This represents a 1.62% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Also, CEO Eric B. Stang sold 23,212 shares of the stock in a transaction dated Friday, July 10th. The shares were sold at an average price of $20.00, for a total value of $464,240.00. Following the sale, 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 ownership of the stock. The SEC filing for this sale provides additional information. In the last quarter, insiders have sold 111,922 shares of company stock valued at $2,240,861. Insiders own 9.90% of the company’s stock.

Hedge Funds Weigh In On Ooma

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Legal & General Group Plc bought a new position in Ooma in the 2nd quarter worth $50,000. IFC & Insurance Marketing Inc. purchased a new position in shares of Ooma during the fourth quarter valued at about $34,000. Meeder Asset Management Inc. raised its stake in Ooma by 28.3% in the first 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 in the last quarter. Tower Research Capital LLC TRC raised its stake in Ooma by 225.2% in the second quarter. Tower Research Capital LLC TRC now owns 3,620 shares of the technology company’s stock worth $47,000 after buying an additional 2,507 shares in the last quarter. Finally, CWM LLC lifted its holdings in Ooma by 45.6% in the fourth quarter. CWM LLC now owns 4,400 shares of the technology company’s stock worth $52,000 after buying an additional 1,378 shares during the period. Institutional investors own 80.42% of the company’s stock.

More Ooma News

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.

Ooma Company Profile

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.