Stock fact sheet · data as of
Ooma, Inc. (OOMA): fair value, margin of safety and Wheel Score
Communication Services · Telecommunications Services · United States · Blend
Is OOMA undervalued?
At 20.48 (close of 16 Oct 2026), OOMA trades 26% over the GLS average fair value of 16.31. 3 of the 8 models land above the price and 5 below. A negative margin of safety costs Value points in the Wheel Score (2 of 25 here) - the models see no discount, which does not make the business a poor one, only the price a full one.
The 8 models disagree widely: EPV gives 4.41 while Payback Time gives 39.32. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
The nightly engine files OOMA under Blend.
Nine valuation models for OOMA
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 10.30 | -50% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 5.65 | -72% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 17.34 | -15% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 7.18 | -65% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 24.31 | +19% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 21.99 | +7% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 39.32 | +92% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | - | - | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend; no value tonight |
| EPV | 4.41 | -78% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -2.46 | -112% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 25.40 | +24% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Financial health is average - OOMA passes 5 of the nine Piotroski tests, which falls one point short of the Sunday Scan's "6 or more" rule. The Financials tab on the Quote page shows which tests fail. The GLS Moat score is 5.1 out of 10: a ten-year record that is consistent in some of the metrics the score tracks (revenue, earnings, margins, cash flow, returns on capital) and patchy in others.
Returns on capital are thin or negative - ROIC 3.9%, ROE 7.0%, ROA 2.8% - with debt at 0.79 times equity and a free-cash-flow yield of 5.4%.
Ooma, Inc. pays no dividend, so the DDM model does not apply and a covered-call holder earns only the premium and any price gain. Revenue comes mainly from Subscription And Services Revenue 91%, Product And Other Revenue 9% (quarter Q2 FY2027).
Institutional ownership scores 9/10, insider activity 1/10 and Congressional trading 5/10 on the GLS smart-money scales; the last recorded insider buy was on 21 Sep 2026.
| Piotroski F-score | 5 / 9 | ROIC | 3.9% |
|---|---|---|---|
| GLS Moat | 5.1 / 10 | ROE | 7.0% |
| Debt / equity | 0.79 | ROA | 2.8% |
| Free-cash-flow yield | 5.4% | Payout ratio | 0% |
| Institutions | 9 / 10 | Insiders · Congress | 1 · 5 / 10 |
Wheel Score 50: Fair
OOMA scores 50 out of 100 on the Wheel Score (Fair band, 50-64): a usable but unremarkable fit for the wheel strategy. The parts: Value 2/25, Health 11/20, Moat 8/15, Premium 20/20, Stability 9/20. Value (2/25) is where the points are missing.
Implied volatility is 50% on the near-the-money contracts 20-60 days out - inside the 35-60% range the Wheel Score pays full marks for: enough premium to be worth selling, not so much that the risk is unpaid. Chain open interest is 2,248 contracts across all expiries - enough for the wheel at normal size.
Volume runs at 261k shares a day on a market cap of $565M, with a beta of 1.23 - a high beta, so the stock tends to move more than the market and a strike can be gapped through; the Stability part of the Wheel Score gives that 9 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 2 / 25 | -26% margin of safety | |
| Health | 11 / 20 | Piotroski 5/9 | |
| Moat | 8 / 15 | moat 5.1/10 | |
| Premium | 20 / 20 | implied volatility 50% | |
| Stability | 9 / 20 | 261k shares/day, $565M cap, beta 1.23 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
The next earnings report is due on 14 Dec 2026, 59 days away - outside the window of a 30-45-day put sold today.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Telecommunications Services
The 12 companies below are the closest to Ooma, Inc. by market cap within the Telecommunications Services industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| SHEN Shenandoah Telecommunications Company | 10.42 | 1.62 | -544% | 39Weak | $577M |
| TSAT Telesat Corporation | 44.23 | - | - | 41Weak | $668M |
| CCOI Cogent Communications Holdings, Inc. | 8.35 | 650.62 | +99% | 45Weak | $428M |
| ATNI ATN International, Inc. | 25.86 | 84.76 | +69% | 67Good | $398M |
| GLIBA Liberty Capital Corporation | 20.37 | 18.35 | -11% | 29No options | $814M |
| GLIBK Liberty Capital Corporation | 20.60 | 17.84 | -15% | 45Weak | $823M |
| GLIBB Liberty Capital Corporation | 21.00 | 16.96 | -24% | 24No options | $839M |
| SIFY Sify Technologies Limited | 12.18 | - | - | 38Weak | $882M |
| TMUSZ T-Mobile US, Inc. 5.5 % Notes 2025-01.03.70 | 17.80 | 79.07 | +77% | 31No options | $356M |
| ITRN Ituran Location and Control Ltd. | 49.96 | 73.20 | +32% | 79Good | $991M |
| GOGO Gogo Inc. | 2.25 | 14.88 | +85% | 45Weak | $305M |
| OPTU Optimum Communications, Inc. | 0.9583 | 15.10 | +94% | 45Weak | $261M |
⚖ Compare OOMA with 7 of them All Communication Services stocks →
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Start free See the Sunday ScanQuestions about OOMA
Is OOMA undervalued right now?
No: at 20.48 the stock trades 26% above the GLS average fair value of 16.31 (data as of 16 Oct 2026). The margin of safety is negative.
What is the Wheel Score of OOMA and what does it mean?
OOMA scores 50 out of 100 (Fair). The Wheel Score blends the margin of safety (25 points), Piotroski health (20), the GLS moat (15), the option premium on offer (20) and trading stability (20) into one number that ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned. 80 and above is Prime, 65-79 Good, 50-64 Fair, under 50 Weak.
What is the GLS fair value for OOMA?
16.31 per share as of 16 Oct 2026 - the simple average of the 8 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Ooma, Inc. report earnings next?
The next earnings report is due on 14 Dec 2026 (after the close), 59 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does OOMA have listed options, and how liquid are they?
Yes. The nightly snapshot found 94 listed contracts with 2,248 open interest across all expiries and implied volatility of 50% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.