What is Ooma Inc worth?
With the base-case assumptions below, a discounted cash flow model on Ooma Inc's reported free cash flow gives $18.45 per share. The share price was $21.77 on September 25, 2026, 18% above that value.
Inputs from the filings
Three sets of assumptions
| Case | Growth yrs 1-5 | Discount rate | Value per share | Value vs price |
|---|---|---|---|---|
| Bear | 5.0% | 10.0% | $10.91 | -50% |
| Base | 10.0% | 9.0% | $18.45 | -15% |
| Bull | 15.0% | 8.0% | $32.52 | +49% |
Sensitivity: base case value per share
| 1.5% | 2.0% | 2.5% | 3.0% | 3.5% | |
|---|---|---|---|---|---|
| 7.0% | $24.01 | $25.73 | $27.82 | $30.44 | $33.81 |
| 8.0% | $19.85 | $20.96 | $22.28 | $23.85 | $25.78 |
| 9.0% | $16.81 | $17.57 | $18.45 | $19.47 | $20.68 |
| 10.0% | $14.50 | $15.05 | $15.66 | $16.36 | $17.17 |
| 11.0% | $12.69 | $13.09 | $13.53 | $14.03 | $14.60 |
Where the presets come from
Base: years 1 to 5 grow at Ooma Inc's revenue growth rate over the last 5 fiscal years (10.1% a year), held between -5% and 15%. Years 6 to 10 grow halfway between that and the long-run rate of 2.5%. Future cash is discounted at 9% a year.
Bear: 5 points less growth, 2% long-run growth, 10% discount rate. Bull: 5 points more growth (at most 25%), 3% long-run growth, 8% discount rate.
Value per share = (present value of 10 years of free cash flow + present value of everything after + cash - debt) / diluted shares.
This is a model run on assumptions, not a recommendation or a price target. Small changes in the discount rate or growth move the result a lot, as the table above shows. Change them yourself in the calculator.
Adjust the assumptions
Move the sliders for growth, long-run growth and discount rate, or switch to average free cash flow, and see the value per share change.
Adjust the assumptions