Ooma (OOMA) Receives a Buy from B.Riley FBR

By Ryan Adsit

B.Riley FBR analyst Josh Nichols reiterated a Buy rating on Ooma (OOMAResearch Report) today and set a price target of $20.50. The company’s shares closed last Monday at $12.04.

Nichols noted:

“Buy-rated Ooma, Inc. (OOMA—$20.50 PT), our Alpha Generator pick, reported better-than- expected F2Q20 (Jul) results and increased annual guidance. Revenue of $37.3M came in above guidance, beating our $35.7M and consensus $35.6M. EBITDA and pro forma EPS of $(0.5M) and $(0.04) also outpaced our $(1.5M)/$(0.06) and consensus $(1.0M)/$(0.06), respectively. Subscription revenue increased 21.3% Y/Y (including the May acquisition of Broadsmart), and the company’s core Ooma Business (Office and Residential offerings grew subscription revenue 23% Y/Y (16% ex-Broadsmart). Business subscription revenue continued to experience industry-leading growth as well, increasing 68% (46% ex-Broadsmart) and accounted for 38% of revenue.”

According to TipRanks.com, Nichols is a 5-star analyst with an average return of 15.9% and a 44.6% success rate. Nichols covers the Consumer Goods sector, focusing on stocks such as Adesto Technologies Corp, Pointer Telocation Ltd, and Horizon Global.

The word on The Street in general, suggests a Moderate Buy analyst consensus rating for Ooma with a $20.50 average price target.

See today’s analyst top recommended stocks >>

The company has a one-year high of $17.50 and a one-year low of $9.85. Currently, Ooma has an average volume of 76.56K.

Based on the recent corporate insider activity of 46 insiders, corporate insider sentiment is neutral on the stock.

TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.

Ooma, Inc. engages in the provision of platform for cloud-based communications solutions, smart security and other connected services. It helps create smart workplaces and homes by providing communications, monitoring, security, automation, productivity, and networking infrastructure applications.