Ooma Stock Price, News & Analysis

Ooma, Inc. (NYSE: OOMA) is a communications services company that focuses on delivering phone, messaging, video and advanced communications services for businesses and consumers. The company is described in its public disclosures and news releases as a smart communications platform, with offerings designed to be easy to implement and to provide strong value for organizations of different sizes as well as residential users. Ooma is incorporated in Delaware and its common stock trades on the New York Stock Exchange under the ticker symbol OOMA.

Founded in 2003, Ooma has developed a portfolio of branded services that address distinct segments of the communications market. According to multiple company news releases, its key offerings include Ooma Office for small to medium-sized businesses seeking enterprise-grade features tailored to their needs, Ooma AirDial for businesses that need to replace aging and increasingly expensive copper phone lines, Ooma 2600Hz for businesses that provide their own communications solutions built on an outsourced underlying platform, and Ooma Telo for residential consumers who want a landline experience at a more affordable price point. The company states that its solutions power more than 2 million users.

Business model and services

Ooma’s business model, as described in its filings and press releases, centers on providing advanced communications services through a smart platform that supports phone, messaging and video. The company notes that its services are designed for ease of implementation and to deliver value to customers. For business customers, Ooma Office offers enterprise-grade features aimed at small and medium-sized organizations, while Ooma AirDial targets use cases where traditional copper phone lines are being phased out. Ooma 2600Hz is positioned for businesses that want to deliver their own communications solutions but rely on an outsourced platform.

On the consumer side, Ooma Telo is positioned for residential users who value a landline-style experience at a lower price point. Across these offerings, Ooma highlights capabilities such as phone, messaging, video and advanced communications features. In earlier descriptions, the company also characterizes itself as a smart software-as-a-service (SaaS) and unified communications platform that delivers voice and collaboration features, including messaging, intelligent virtual attendants and video conferencing, with residential phone service that provides high-definition voice quality, advanced functionality and integration with mobile devices. The company has stated that its services rely on elements such as a multi-tenant cloud service, on-premise devices, desktop and mobile applications and calling platforms.

Customer focus and market segments

Ooma’s communications platform is oriented toward two primary groups: business customers and residential consumers. For businesses, the company emphasizes small and medium-sized organizations, often referred to as SMBs, as a core audience. Ooma Office is described as providing enterprise-grade features tailored to the needs of these customers, while Ooma AirDial is positioned for any business that needs to address the transition away from copper phone lines. Ooma 2600Hz serves businesses that build and deliver their own communications solutions but prefer to do so on top of an outsourced underlying platform.

For residential consumers, Ooma Telo offers a landline-like experience with advanced communications features at a more affordable price point. In its public communications, Ooma notes that its solutions are used by more than 2 million users, indicating a broad base of both business and consumer customers using its phone, messaging and video services.

Technology and platform characteristics

In describing its technology, Ooma refers to its platform as a smart SaaS and unified communications environment. The company has explained that its services depend on a multi-tenant cloud service, on-premise devices, desktop and mobile applications and calling platforms. This structure supports the delivery of voice and collaboration features such as messaging, intelligent virtual attendants and video conferencing, as well as residential phone services with high-definition voice quality and integration with mobile devices.

Ooma’s business-focused offerings, including Ooma Office, Ooma AirDial and Ooma 2600Hz, are positioned as advanced communications services that combine phone, messaging and video capabilities. The company has also highlighted that its solutions have received awards, though specific awards are not detailed in the provided materials.

Growth through acquisitions

Recent company news demonstrates that Ooma has pursued growth by acquiring other cloud communications providers. In a series of press releases and related Form 8-K filings, Ooma announced a definitive agreement to acquire FluentStream Corp., followed by the closing of that acquisition, and later a definitive agreement and subsequent closing of the acquisition of Phone.com.

FluentStream is described as a cloud communications/UCaaS provider founded in 2010 and headquartered in Denver, Colorado, with a strong channel and partner program. According to Ooma’s announcement, FluentStream provides voice, text, mobile and call-center features and supports remote and hybrid workforces. The company serves approximately 5,000 customers and 80,000 users, with most customers supported by a proprietary UCaaS platform and U.S.-based customer support.

Phone.com is described as a cloud communications/UCaaS provider founded in 2006 and headquartered in Newark, New Jersey, focused on serving small and medium-sized businesses. Ooma’s announcements state that Phone.com offers solutions spanning voice, video, text, specialized call handling and desktop and mobile applications, serving approximately 36,000 customers and 87,000 users across North America from its proprietary UCaaS platform. Ooma has stated that these acquisitions are intended to extend its leadership in serving SMB customers and to grow Ooma Business, and that they are expected to be accretive to adjusted EBITDA and non-GAAP earnings per share based on the company’s non-GAAP financial measures.

Financial reporting and revenue mix

Ooma’s financial results, as summarized in its earnings press releases and related Form 8-K filings, show that the company reports revenue in two main categories: subscription and services, and product and other. In its fiscal second and third quarter 2026 results, Ooma reported total revenue and noted that subscription and services revenue represented a large majority of total revenue and was primarily driven by the growth of Ooma Business. The company also reports non-GAAP metrics such as non-GAAP net income and adjusted EBITDA, and it provides reconciliations of these measures to the most directly comparable GAAP measures.

Ooma explains that adjusted EBITDA represents net income before interest and other income, income taxes, depreciation and amortization of capital expenditures, amortization of intangible assets, stock-based compensation and related taxes, and certain other items such as acquisition-related costs, litigation costs, restructuring costs and gain on note conversion. The company states that it uses non-GAAP financial measures to provide additional insight into what it considers its core operating performance and to facilitate comparisons across periods.

Capital structure and credit facilities

In a Form 8-K related to the acquisition of FluentStream, Ooma disclosed that it entered into an amendment to its existing credit agreement with Citizens Bank, N.A. The amendment added a term loan commitment, part of which was borrowed to fund the acquisition, and adjusted the revolving credit facility and its maturity date. The company also noted that the remaining portion of the term loan commitment may be borrowed subject to certain conditions and that the credit agreement requires Ooma to maintain certain financial ratios.

In connection with its acquisitions, Ooma has stated that it expects to finance transactions through a combination of cash on hand and bank debt financing. These disclosures provide insight into how the company funds strategic transactions and manages its capital structure.

Industry classification

Based on the provided classification, Ooma operates within the Data Processing, Hosting, and Related Services industry in the Information sector. Its focus on cloud-based communications, unified communications as a service (UCaaS), and SaaS-based voice and collaboration services aligns with this categorization. The company’s emphasis on multi-tenant cloud services, desktop and mobile applications, and calling platforms reflects its role as a provider of hosted communications services rather than traditional hardware-focused telecommunications.

Use of non-GAAP measures

Ooma’s earnings releases and SEC filings emphasize the use of non-GAAP financial measures, including non-GAAP net income, non-GAAP net income per share, non-GAAP gross profit and gross margin, non-GAAP operating income and adjusted EBITDA. The company explains that these measures exclude items such as stock-based compensation and related taxes, amortization of intangible assets, certain non-recurring gains and charges, and other adjustments. Ooma presents these measures for supplemental informational purposes and notes that they should be considered together with GAAP results.

Investor communications and events

Ooma regularly participates in investor conferences and hosts earnings conference calls and webcasts, as described in its news releases. The company has announced participation in events such as the Gateway Conference and the Needham Growth Conference, where its leadership team engages with investors through presentations and virtual or in-person meetings. For quarterly results, Ooma typically releases a news announcement and then holds a conference call and webcast for analysts and investors, with an archived version of the webcast made available afterward.

FAQs about Ooma, Inc.

• What does Ooma, Inc. do?
  Ooma, Inc. provides phone, messaging, video and advanced communications services for businesses and consumers. Its platform supports offerings such as Ooma Office, Ooma AirDial, Ooma 2600Hz and Ooma Telo, which serve small and medium-sized businesses as well as residential users.
• When was Ooma founded?
  According to the company’s public descriptions in its news releases, Ooma was founded in 2003.
• What are Ooma’s main business services?
  Ooma’s main services include Ooma Office for small to medium-sized businesses, Ooma AirDial for businesses replacing copper phone lines, Ooma 2600Hz for businesses that provide their own communications solutions on an outsourced platform, and Ooma Telo for residential consumers seeking a landline-style experience at a more affordable price point.
• How does Ooma generate revenue?
  In its financial disclosures, Ooma reports revenue in two primary categories: subscription and services revenue, and product and other revenue. Subscription and services revenue represents the majority of total revenue and is described as being primarily driven by the growth of Ooma Business.
• What industry and sector is Ooma classified in?
  Ooma is classified in the Data Processing, Hosting, and Related Services industry within the Information sector, reflecting its focus on cloud-based and hosted communications services.
• What is Ooma Office?
  Ooma Office is a business communications service described by the company as designed for small to medium-sized businesses that want enterprise-grade features tailored to their needs. It is part of Ooma’s broader smart communications platform that includes phone, messaging and video capabilities.
• What is Ooma AirDial?
  Ooma AirDial is a service that the company positions for businesses looking to replace aging and increasingly expensive copper phone lines. It is part of Ooma’s business-focused offerings and is mentioned in multiple company news releases.
• What is Ooma 2600Hz?
  Ooma 2600Hz is described as a service for businesses that provide their own communications solutions but rely on an outsourced underlying platform. It is one of Ooma’s branded offerings aimed at business customers.
• What is Ooma Telo?
  Ooma Telo is a residential communications service that provides a landline experience at a more affordable price point. It is aimed at consumers who want home phone service with advanced features.
• Has Ooma grown through acquisitions?
  Yes. Ooma has announced and completed acquisitions of FluentStream Corp. and Phone.com, both cloud communications/UCaaS providers serving small and medium-sized businesses. These transactions are described by Ooma as supporting its strategy to extend its leadership in serving SMB customers and to grow Ooma Business.
• What non-GAAP financial measures does Ooma use?
  Ooma reports non-GAAP measures such as non-GAAP net income, non-GAAP net income per share, non-GAAP gross profit and gross margin, non-GAAP operating income and adjusted EBITDA. The company explains that adjusted EBITDA excludes items such as interest and other income, income taxes, depreciation and amortization of capital expenditures, amortization of intangible assets, stock-based compensation and related taxes, and certain other costs.
• Where is Ooma incorporated and where does its stock trade?
  Ooma, Inc. is incorporated in Delaware, as indicated in its SEC filings, and its common stock trades on the New York Stock Exchange under the symbol OOMA.