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OomaOOMA -0.91%70 FCF Margin % is 12.98% as of Jul. 2026, which is 1211% above its 10-year median of 0.99. GuruFocus rates OOMA with a GF Score™ of 70/100 and a GF Value™ of $13.88 (Significantly Overvalued). The stock has 6 warning signs investors should review. Among 2,820 Software companies, Ooma ranks better than 70.89% on this metric.
FCF Margin % is calculated as Free Cash Flow divided by its Revenue. Ooma's Free Cash Flow for the
three
months ended in Jul. 2026 was $10.8 Mil. Ooma's Revenue for the
three
months ended in Jul. 2026 was $83.2 Mil. Therefore, Ooma's FCF Margin % for the quarter that ended in Jul. 2026 was 12.98%.
The historical data trend for Ooma's FCF Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Software - Application subindustry, Ooma's FCF Margin %, along with its competitors' market caps and FCF Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Ooma FCF Margin % vs Software Industry
For the Software industry and Technology sector, Ooma's FCF Margin % distribution charts can be found below:
* The bar in red indicates where Ooma's FCF Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Ooma (OOMA) has a FCF Margin % of 12.98% as of Jul. 2026. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Ooma and its competitors. This is 1211% above median its historical median of 0.99. According to the industry distribution chart, Ooma ranks #821 out of 2820 companies in the Software industry, placing it in the top 29.1%.
Is Ooma's FCF Margin % too high?
Ooma's current FCF Margin % of 12.98% is 1211% above median its 10-year median of 0.99. The Software industry median FCF Margin % is 1.91. Ooma's value of 12.98% is 579.6% above this industry median. Based on the distribution chart, Ooma ranks #821 out of 2820 companies in the Software industry, which is above the industry midpoint. Overall, Ooma has a GF Score™ of 70/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Ooma's FCF Margin % compare to SMWB and SVMB?
According to the Software industry distribution chart, Ooma ranks #821 out of 2820 companies for FCF Margin %. This puts Ooma in the upper half of its industry. The industry median FCF Margin % is 1.91. Ooma's value of 12.98% is 579.6% above this benchmark. While the company's 10-year median is 0.99 vs. the industry median of 1.91, Ooma has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good FCF Margin % for a Software company?
The median FCF Margin % among Software companies is 1.91, based on 2,820 companies in the industry. Companies in the top quartile (top 25%) have a FCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, FCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Ooma's current FCF Margin % of 12.98% is 579.6% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high FCF Margin % mean?
A high FCF Margin % can signal that a stock is expensive relative to its fundamentals. Free cash flow margin is the ratio of total free cash flow to net sales. View historical data on Ooma and its competitors. For the Software industry, the median FCF Margin % is 1.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ooma's current FCF Margin % is 12.98%, which is 1211% above median its own 10-year median of 0.99. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ooma stock overvalued right now?
Based on GuruFocus' analysis, Ooma (OOMA) is currently considered Significantly Overvalued. The stock's GF Value™ is $13.88, compared to a current price of $22.83 — trading 64.5% above its estimated fair value. The current FCF Margin % is 12.98%, which is 1211% above median its 10-year median of 0.99 and 579.6% above the Software industry median of 1.91. Ooma's overall GF Score™ is 70/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is FCF Margin % calculated?
FCF Margin % is calculated from a company's financial statements. For Ooma (OOMA), the current FCF Margin % is 12.98% as of Jul. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Ooma (OOMA) Overvalued in 2026?
Based on GuruFocus' analysis, Ooma stock appears to be overvalued.
The current stock price of $22.83 is trading 64.5% above its estimated GF Value™ of $13.88.
GuruFocus considers Ooma to be Significantly Overvalued.
Key valuation signals for OOMA:
FCF Margin %: 12.98% (1211% above median its 10-year median of 0.99)
GF Value™: $13.88 vs. price of $22.83 (64.5% above fair value)
Industry Position: 579.6% above the Software median (#821 of 2820)
No single metric tells the full story. See the OOMA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Ooma Inc is a communications services company. It is 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, and residential phone service provides PureVoice high-definition voice quality, advanced functionality and integration with mobile devices. Its services rely upon the following main elements: multi-tenant cloud service, on-premise devices, desktop and mobile applications, and calling platforms. It generates revenues from the sale of subscriptions and other services.
70GF Score
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