Ooma, Inc. (OOMA) vs Sprout Social, Inc. (SPT)

Ooma, Inc. and Sprout Social, Inc. are both Software Application companies. Ooma, Inc. and Sprout Social, Inc. are of similar size ($605.0M and $589.4M). Sprout Social, Inc. has negative trailing earnings, so its P/E is not meaningful; Ooma, Inc. trades at 55.8×. Ooma, Inc. grew revenue faster over the last twelve months: 17.2% against 11.9%. Ooma, Inc. has the higher net margin (3.57% vs −6.13%) and the higher return on invested capital (5.35% vs −12.6%). Across the 20 metrics below, Ooma, Inc. leads on 10 and Sprout Social, Inc. on 10.

Valuation

Metric OOMA SPT Software Application median
P/E 55.82 n/m 24.79
P/S 1.96 1.19 2.67
P/B 6.10 2.51 3.01
Price to free cash flow 19.79 11.41 16.59
EV/EBITDA 21.51 35.20 14.40
EV/Sales 2.05 1.01 2.62
Earnings yield 1.79% (5.24%) 0.00%
Free cash flow yield 5.05% 8.76% 1.91%

Profitability

Metric OOMA SPT Software Application median
Gross margin 61.47% 77.45% 67.03%
Operating margin 3.55% (5.90%) 0.00%
Net margin 3.57% (6.13%) 0.00%
Free cash flow margin 9.88% 10.45% 4.32%
Return on equity 11.72% (14.30%) 0.00%
Return on assets 5.81% (6.25%) 0.00%
Return on invested capital 5.35% (12.60%) 0.00%

Growth

Metric OOMA SPT Software Application median
Revenue growth (TTM) 17.19% 11.85% 12.40%
EPS growth (last fiscal year) 188.46% 32.11% —
Revenue growth, 5-year CAGR 10.12% 28.04% 13.72%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric OOMA SPT Software Application median
Debt to equity 0.47 0.14 0.02
Current ratio 0.95 1.03 1.55
Net debt to EBITDA 2.03 8.10 0.06

Dividend

Metric OOMA SPT Software Application median
Dividend yield — — 1.25%
Payout ratio 0.00 0.00 0.00

Size

Metric OOMA SPT Software Application median
Market cap 604.99m 589.35m 396.11m

Compare with another peer

Any metric, up to five companies and an Excel export Powerpack