Ooma Price To Sales vs. Revenue

OOMA Stock  USD 14.63  0.51  3.37%   
Based on the key profitability measurements obtained from Ooma's financial statements, Ooma Inc may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in January. Profitability indicators assess Ooma's ability to earn profits and add value for shareholders.

Ooma Price To Sales Ratio

2.05

At present, Ooma's Price To Sales Ratio is projected to slightly decrease based on the last few years of reporting. The current year's Days Sales Outstanding is expected to grow to 15.28, whereas Sales General And Administrative To Revenue is forecasted to decline to 0.1. At present, Ooma's Total Other Income Expense Net is projected to increase significantly based on the last few years of reporting. The current year's Interest Income is expected to grow to about 483.6 K, whereas Accumulated Other Comprehensive Income is forecasted to decline to (1.1 K).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.440.6219
Way Down
Slightly volatile
For Ooma profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Ooma to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Ooma Inc utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Ooma's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Ooma Inc over time as well as its relative position and ranking within its peers.
  

Ooma's Revenue Breakdown by Earning Segment

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Is Diversified Telecommunication Services space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Ooma. If investors know Ooma will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Ooma listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share
(0.37)
Revenue Per Share
9.506
Quarterly Revenue Growth
0.099
Return On Assets
(0.02)
Return On Equity
(0.07)
The market value of Ooma Inc is measured differently than its book value, which is the value of Ooma that is recorded on the company's balance sheet. Investors also form their own opinion of Ooma's value that differs from its market value or its book value, called intrinsic value, which is Ooma's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Ooma's market value can be influenced by many factors that don't directly affect Ooma's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Ooma's value and its price as these two are different measures arrived at by different means. Investors typically determine if Ooma is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Ooma's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Ooma Inc Revenue vs. Price To Sales Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Ooma's current stock value. Our valuation model uses many indicators to compare Ooma value to that of its competitors to determine the firm's financial worth.
Ooma Inc is regarded second in price to sales category among its peers. It is regarded fifth in revenue category among its peers totaling about  148,722,830  of Revenue per Price To Sales. At present, Ooma's Price To Sales Ratio is projected to slightly decrease based on the last few years of reporting. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Ooma's earnings, one of the primary drivers of an investment's value.

Ooma Revenue vs. Price To Sales

Price to Sales ratio is typically used for valuing equity relative to its own past performance as well as to performance of other companies or market indexes. In most cases, the lower the ratio, the better it is for investors. However, it is advisable for investors to exercise caution when looking at price-to-sales ratios across different industries.

Ooma

P/S

 = 

MV Per Share

Revenue Per Share

 = 
1.59 X
The most critical factor to remember is that the price of equity takes a firm's debt into account, whereas the sales indicators do not consider financial leverage. Generally speaking, Price to Sales ratio shows how much market values every dollar of the company's sales.
Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.

Ooma

Revenue

 = 

Money Received

-

Discounts and Returns

 = 
236.74 M
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include products or services discounts, promotions, as well as early payments on invoices or services rendered in advance.

Ooma Revenue vs Competition

Ooma Inc is regarded fifth in revenue category among its peers. Market size based on revenue of Communication Services industry is now estimated at about 291.69 Billion. Ooma adds roughly 236.74 Million in revenue claiming only tiny portion of stocks in Communication Services industry.

Ooma Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Ooma, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Ooma will eventually generate negative long term returns. The profitability progress is the general direction of Ooma's change in net profit over the period of time. It can combine multiple indicators of Ooma, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Last ReportedProjected for Next Year
Accumulated Other Comprehensive Income(1,000.00)(1,050)
Operating Income-3.3 M-3.5 M
Income Before Tax-2.8 M-3 M
Total Other Income Expense Net482 K506.1 K
Net Loss-835 K-876.8 K
Income Tax Expense-2 M-1.9 M
Net Loss-4.2 M-4.4 M
Net Loss-4.2 M-4.4 M
Interest Income298.8 K483.6 K
Non Operating Income Net Other-49.5 K-51.9 K
Net Interest Income298.8 K401.5 K
Change To Netincome13.6 M11.3 M
Net Loss(0.03)(0.03)
Income Quality(14.70)(13.96)
Net Income Per E B T 0.30  0.28 

Ooma Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Ooma. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Ooma position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Ooma's important profitability drivers and their relationship over time.

Use Ooma in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Ooma position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Ooma will appreciate offsetting losses from the drop in the long position's value.

Ooma Pair Trading

Ooma Inc Pair Trading Analysis

The ability to find closely correlated positions to Ooma could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Ooma when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Ooma - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Ooma Inc to buy it.
The correlation of Ooma is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Ooma moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Ooma Inc moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Ooma can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Ooma position

In addition to having Ooma in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Cancer Fighters
Cancer Fighters Theme
Biotech and medical diagnostic companies that work on researching drugs or manufacturing of medical and therapeutics equipment that is directly related to the research, treatment, and detection of cancer or cancer related diseases. The Cancer Fighters theme has 60 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Cancer Fighters Theme or any other thematic opportunities.
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When determining whether Ooma Inc offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Ooma's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Ooma Inc Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Ooma Inc Stock:
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You can also try the Portfolio Diagnostics module to use generated alerts and portfolio events aggregator to diagnose current holdings.
To fully project Ooma's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Ooma Inc at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Ooma's income statement, its balance sheet, and the statement of cash flows.
Potential Ooma investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Ooma investors may work on each financial statement separately, they are all related. The changes in Ooma's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Ooma's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.