Ooma price target lowered by $1 at Northland, here’s why

Northland lowered the firm’s price target on Ooma to $18 from $19 and keeps an Outperform rating on the shares after Ooma reported 14% organic business subscription growth and inline EBITDA in Q3 and guided Q4 slightly below consensus. Noting that Ooma won its two largest AirDial customers to date, and indicated its pipeline is growing well, the firm is keeping its FY25 business subscription estimate, but now with the inclusion of the 2600Hz acquisition.