Is Domo Stock a Good Investment?
Domo Investment Advice | DOMO |
- Examine Domo's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Domo's leadership team and their track record. Good management can help Domo navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Application Software space and any emerging trends that could impact Domo's business and its evolving consumer preferences.
- Compare Domo's performance and market position to its competitors. Analyze how Domo is positioned in terms of product offerings, innovation, and market share.
- Check if Domo pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Domo's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Domo Inc stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Domo Inc is a good investment.
Sell | Buy |
Hold
Market Performance | OK | Details | |
Volatility | Somewhat reliable | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Quite High | Details | |
Economic Sensitivity | Responds to the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Domo Stock
Researching Domo's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 73.0% of the company shares are held by institutions such as insurance companies. The company recorded a loss per share of 2.16. Domo Inc had not issued any dividends in recent years.
To determine if Domo is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Domo's research are outlined below:
| Domo Inc has high likelihood to experience some financial distress in the next 2 years | |
| Domo Inc has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial obligations | |
| Domo Inc currently holds 129.48 M in liabilities with Debt to Equity (D/E) ratio of 455.5, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. Domo Inc has a current ratio of 0.66, indicating that it has a negative working capital and may not be able to pay financial obligations when due. Note, when we think about Domo's use of debt, we should always consider it together with its cash and equity. | |
| The entity reported the previous year's revenue of 318.99 M. Net Loss for the year was (75.57 M) with profit before overhead, payroll, taxes, and interest of 235.57 M. | |
| About 73.0% of Domo shares are held by institutions such as insurance companies | |
| Latest headline from gurufocus.com: AMERIPRISE FINANCIAL INCs Strategic Acquisition of Domo Inc Shares |
Domo Quarterly Accounts Payable |
|
Domo uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Domo Inc. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Domo's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 4th of March 2024 Upcoming Quarterly Report | View | |
| 23rd of May 2024 Next Financial Report | View | |
| 31st of January 2024 Next Fiscal Quarter End | View | |
| 4th of March 2024 Next Fiscal Year End | View | |
| 31st of October 2023 Last Quarter Report | View | |
| 31st of January 2023 Last Financial Announcement | View |
Earnings surprises can significantly impact Domo's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Domo's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2021-08-26 | 2021-07-31 | -0.36 | -0.3 | 0.06 | 16 | ||
2023-08-24 | 2023-07-31 | -0.09 | -0.02 | 0.07 | 77 | ||
2023-03-06 | 2023-01-31 | -0.09 | -0.02 | 0.07 | 77 | ||
2022-08-25 | 2022-07-31 | -0.33 | -0.26 | 0.07 | 21 | ||
2024-05-23 | 2024-04-30 | -0.23 | -0.33 | -0.1 | 43 | ||
2021-03-11 | 2021-01-31 | -0.43 | -0.32 | 0.11 | 25 | ||
2020-03-10 | 2020-01-31 | -0.96 | -0.85 | 0.11 | 11 | ||
2022-12-08 | 2022-10-31 | -0.26 | -0.13 | 0.13 | 50 |
Know Domo's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Domo is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Domo Inc backward and forwards among themselves. Domo's institutional investor refers to the entity that pools money to purchase Domo's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Palogic Value Management Lp | 2024-09-30 | 420 K | B. Riley Asset Management, Llc | 2024-06-30 | 416.5 K | Millennium Management Llc | 2024-06-30 | 401.9 K | Woodline Partners Lp | 2024-06-30 | 333.5 K | Springbok Capital Management, Llc | 2024-09-30 | 318.1 K | Walleye Trading Llc | 2024-06-30 | 310.4 K | Northern Trust Corp | 2024-09-30 | 309.6 K | Fmr Inc | 2024-09-30 | 301.5 K | Charles Schwab Investment Management Inc | 2024-09-30 | 267.6 K | Vanguard Group Inc | 2024-09-30 | 5.1 M | Blackrock Inc | 2024-06-30 | 3.3 M |
Domo's market capitalization trends
The company currently falls under 'Small-Cap' category with a current market capitalization of 361.59 M.Market Cap |
|
Domo's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | (0.35) | (0.37) | |
| Return On Capital Employed | 4.52 | 4.75 | |
| Return On Assets | (0.33) | (0.35) | |
| Return On Equity | 0.49 | 0.27 |
Determining Domo's profitability involves analyzing its financial statements and using various financial metrics to determine if Domo is a good buy. For example, gross profit margin measures Domo's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Domo's profitability and make more informed investment decisions.
Domo's Earnings Breakdown by Geography
Evaluate Domo's management efficiency
Domo Inc has return on total asset (ROA) of (0.1929) % which means that it has lost $0.1929 on every $100 spent on assets. This is way below average. Domo's management efficiency ratios could be used to measure how well Domo manages its routine affairs as well as how well it operates its assets and liabilities. As of the 30th of November 2024, Return On Capital Employed is likely to grow to 4.75, while Return On Tangible Assets are likely to drop (0.37). At this time, Domo's Total Assets are very stable compared to the past year. As of the 30th of November 2024, Total Current Assets is likely to grow to about 178.2 M, while Net Tangible Assets are likely to drop (188.2 M).| Last Reported | Projected for Next Year | ||
| Book Value Per Share | (4.26) | (4.47) | |
| Tangible Book Value Per Share | (4.60) | (4.83) | |
| Enterprise Value Over EBITDA | (9.54) | (10.02) | |
| Price Book Value Ratio | (2.55) | (2.68) | |
| Enterprise Value Multiple | (9.54) | (10.02) | |
| Price Fair Value | (2.55) | (2.68) | |
| Enterprise Value | 1.8 B | 1.8 B |
Domo Inc has shown resilience through effective management strategies. Our analysis examines how these strategies influence financial outcomes and investor returns which helps in understanding the stock's long-term potential.
Beta 2.443 |
Basic technical analysis of Domo Stock
As of the 30th of November, Domo shows the Coefficient Of Variation of 828.55, downside deviation of 2.83, and Mean Deviation of 2.11. Domo Inc technical analysis allows you to utilize historical prices and volume patterns in order to determine a pattern that computes the direction of the firm's future prices.Domo's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Domo insiders, such as employees or executives, is commonly permitted as long as it does not rely on Domo's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Domo insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Domo's Outstanding Corporate Bonds
Domo issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Domo Inc uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Domo bonds can be classified according to their maturity, which is the date when Domo Inc has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| DOMTAR P 675 Corp BondUS257559AK07 | View | |
| DOMTAR P 625 Corp BondUS257559AJ34 | View | |
| MPLX LP 52 Corp BondUS55336VAL45 | View |
Understand Domo's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Domo's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.0995 | |||
| Market Risk Adjusted Performance | 0.2521 | |||
| Mean Deviation | 2.11 | |||
| Semi Deviation | 2.38 | |||
| Downside Deviation | 2.83 | |||
| Coefficient Of Variation | 828.55 | |||
| Standard Deviation | 2.75 | |||
| Variance | 7.55 | |||
| Information Ratio | 0.0706 | |||
| Jensen Alpha | 0.1521 | |||
| Total Risk Alpha | (0.14) | |||
| Sortino Ratio | 0.0685 | |||
| Treynor Ratio | 0.2421 | |||
| Maximum Drawdown | 10.39 | |||
| Value At Risk | (4.10) | |||
| Potential Upside | 4.41 | |||
| Downside Variance | 8.01 | |||
| Semi Variance | 5.67 | |||
| Expected Short fall | (2.30) | |||
| Skewness | (0.30) | |||
| Kurtosis | 0.3469 |
| Risk Adjusted Performance | 0.0995 | |||
| Market Risk Adjusted Performance | 0.2521 | |||
| Mean Deviation | 2.11 | |||
| Semi Deviation | 2.38 | |||
| Downside Deviation | 2.83 | |||
| Coefficient Of Variation | 828.55 | |||
| Standard Deviation | 2.75 | |||
| Variance | 7.55 | |||
| Information Ratio | 0.0706 | |||
| Jensen Alpha | 0.1521 | |||
| Total Risk Alpha | (0.14) | |||
| Sortino Ratio | 0.0685 | |||
| Treynor Ratio | 0.2421 | |||
| Maximum Drawdown | 10.39 | |||
| Value At Risk | (4.10) | |||
| Potential Upside | 4.41 | |||
| Downside Variance | 8.01 | |||
| Semi Variance | 5.67 | |||
| Expected Short fall | (2.30) | |||
| Skewness | (0.30) | |||
| Kurtosis | 0.3469 |
Consider Domo's intraday indicators
Domo intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Domo stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Domo Corporate Filings
13A | 14th of November 2024 An amended filing to the original Schedule 13G | ViewVerify |
13A | 13th of November 2024 The form used by investors holding more than 5% of a company's stock, to report their beneficial ownership pursuant to Rule 13d-1 or Rule 13d-2 under the Securities Exchange Act of 1934 | ViewVerify |
F3 | 8th of November 2024 The report used by insiders such as officers, directors, and major shareholders (beneficial owners holding more than 10% of any class of the company's equity securities) to declare their ownership of a company's stock | ViewVerify |
F4 | 24th of September 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
Domo Stock media impact
Far too much social signal, news, headlines, and media speculation about Domo that are available to investors today. That information is available publicly through Domo media outlets and privately through word of mouth or via Domo internal channels. However, regardless of the origin, that massive amount of Domo data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Domo news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Domo relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Domo's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Domo alpha.
Domo Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Domo can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Domo Inc Historical Investor Sentiment
Investor biases related to Domo's public news can be used to forecast risks associated with an investment in Domo. The trend in average sentiment can be used to explain how an investor holding Domo can time the market purely based on public headlines and social activities around Domo Inc. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Domo's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Domo and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Domo news discussions. The higher the estimate score, the more favorable the investor's outlook on Domo.
Domo Corporate Management
| John Mellor | CEO Director | Profile | |
| Madison McCord | Vice Resources | Profile | |
| Alexis JD | Chief Officer | Profile | |
| Julie Kehoe | Chief Officer | Profile | |
| Peter Lowry | Vice Relations | Profile |
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Domo Inc. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in population. You can also try the Competition Analyzer module to analyze and compare many basic indicators for a group of related or unrelated entities.
Is Application Software space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Domo. If investors know Domo will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Domo listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share (2.16) | Revenue Per Share 8.549 | Quarterly Revenue Growth (0.02) | Return On Assets (0.19) |
The market value of Domo Inc is measured differently than its book value, which is the value of Domo that is recorded on the company's balance sheet. Investors also form their own opinion of Domo's value that differs from its market value or its book value, called intrinsic value, which is Domo's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Domo's market value can be influenced by many factors that don't directly affect Domo's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Domo's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Domo is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Domo's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.