Domo (DOMO) AI Stock Analysis

• Market Cap: $476.63M
• Dividend Yield: N/A
• Average Volume (3M): 593.82K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.92
• Revenue Growth: >-0.01%
• EPS Growth: 9.72%
• Country: US
• Employees: 888
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Application
• EPS (TTM): 0.02
• Shares Outstanding: 37,967,567
• 10 Day Avg. Volume: 501,512
• 30 Day Avg. Volume: 593,819
• PEG Ratio: -2.79
• Price to Book (P/B): -1.84
• Price to Sales (P/S): 1.03
• P/FCF Ratio: -17.63
• Enterprise Value/Market Cap: 1.60
• Enterprise Value/Revenue: 2.40
• Enterprise Value/Gross Profit: 3.21
• Enterprise Value/Ebitda: -16.30
• 1Y Price Target: $19.60
• Price Target Upside: 73.60% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 51 Neutral
• Price Target: $12.50 ▲(10.72% Upside)

Domo's overall stock score reflects significant financial challenges, with persistent losses and negative equity weighing heavily on its financial performance. Technical analysis indicates bearish momentum, and valuation metrics are unattractive due to ongoing losses. However, the positive earnings call, marked by record achievements in non-GAAP EPS and revenue, provides a counterbalance, highlighting potential for future growth and strategic improvements.

Positive Factors

Strategic Expansion

The expansion into the AWS Asia-Pacific Region enhances Domo's global infrastructure, improving performance and supporting growth in the rapidly expanding Indian market, which can lead to increased customer acquisition and revenue opportunities.

Positive Non-GAAP EPS

Achieving positive non-GAAP EPS marks a significant milestone, indicating improved financial health and operational efficiency, which can enhance investor confidence and support long-term growth.

Sales Force Productivity

The surge in sales force productivity suggests effective sales strategies and execution, which can drive revenue growth and strengthen market position over the long term.

Negative Factors

Financial Instability

Negative equity indicates liabilities exceed assets, posing a high financial risk and potential solvency issues, which can limit strategic flexibility and growth opportunities.

Cash Flow Challenges

Weak cash generation from operations limits the company's ability to invest in growth initiatives and manage debt, potentially impacting long-term financial stability.

Gross Retention Rate Stagnation

Stagnant gross retention rates indicate challenges in retaining customers, which can hinder revenue growth and suggest potential issues with customer satisfaction or competitive pressures.

Domo Business Overview & Revenue Model

Company Description

Domo, Inc. is a cloud-based business intelligence and data visualization company that provides a platform designed to help organizations manage and analyze their data in real-time. Founded in 2010, Domo serves a wide range of sectors, including technology, healthcare, retail, and financial services. Its core products include the Domo Business Cloud, which allows users to connect various data sources, visualize data through dashboards, and derive actionable insights to facilitate data-driven decision-making.

How the Company Makes Money

Domo generates revenue primarily through subscription fees for its cloud-based platform. Customers pay for access based on the number of users and the level of service required, including features such as data integration, analytics, and reporting tools. Additionally, Domo offers professional services and consulting to help customers implement and maximize the use of its platform, contributing to its revenue streams. The company also forms strategic partnerships with other technology providers to enhance its offerings, which can lead to increased customer acquisition and additional revenue opportunities.

Domo Financial Statement Overview

Summary

Domo's financial performance is challenged by persistent losses and negative equity, despite strong revenue growth. The income statement shows a strong gross profit margin but negative net profit and operational margins. The balance sheet indicates financial instability with negative stockholders' equity and high financial risk. Cash flow analysis reveals difficulties in generating positive free cash flow, highlighting weak cash generation from operations.

Income Statement

Domo's income statement shows a mixed performance. The company has a strong gross profit margin consistently above 74%, indicating efficient cost management relative to revenue. However, the net profit margin remains negative, reflecting ongoing losses. Revenue growth is volatile, with a notable 41.3% increase in the TTM period, but prior periods show fluctuations. EBIT and EBITDA margins are negative, indicating operational challenges.

Balance Sheet

The balance sheet reveals financial instability with negative stockholders' equity, suggesting liabilities exceed assets. The debt-to-equity ratio is negative due to negative equity, indicating high financial risk. Return on equity is positive, but this is misleading due to negative equity. The equity ratio is not calculable due to negative equity, highlighting potential solvency issues.

Cash Flow

Cash flow analysis shows challenges in generating positive free cash flow, with a significant decline in the TTM period. Operating cash flow is positive but minimal relative to net income, indicating weak cash generation from operations. The free cash flow to net income ratio is negative, reflecting cash outflows exceeding net losses.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	318.36M	317.04M	318.99M	308.64M	257.96M	210.18M
Gross Profit	237.47M	236.05M	243.52M	235.57M	190.81M	153.43M
EBITDA	-46.78M	-50.05M	-48.26M	-78.86M	-78.97M	-64.35M
Net Income	-77.42M	-81.94M	-75.57M	-105.55M	-102.11M	-84.63M
Balance Sheet
Total Assets	195.72M	214.34M	225.66M	242.12M	244.59M	216.44M
Cash, Cash Equivalents and Short-Term Investments	47.14M	45.26M	57.24M	66.50M	83.56M	90.79M
Total Debt	137.18M	135.53M	129.48M	128.78M	124.18M	104.97M
Total Liabilities	387.20M	391.59M	379.21M	388.52M	370.57M	299.90M
Stockholders Equity	-191.49M	-177.25M	-153.55M	-146.40M	-125.98M	-83.46M
Cash Flow
Free Cash Flow	-7.45M	-18.50M	-9.18M	-18.89M	-6.14M	-21.68M
Operating Cash Flow	2.54M	-9.05M	2.58M	-10.89M	379.00K	-15.87M
Investing Cash Flow	-9.99M	-9.45M	-11.76M	-8.00M	-6.52M	12.24M
Financing Cash Flow	-1.66M	3.39M	3.47M	2.42M	-561.00K	13.10M

Domo Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 11.29
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DOMO, the sentiment is Negative. The current price of 11.29 is below the 20-day moving average (MA) of 12.99, below the 50-day MA of 14.36, and below the 200-day MA of 12.05, indicating a bearish trend. The MACD of -0.65 indicates Positive momentum. The RSI at 29.64 is Positive, neither overbought nor oversold. The STOCH value of 10.77 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DOMO.

Domo Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VTEX	66 Neutral	$696.34M	103.04	6.53%	―	3.62%	-20.45%
DSP	64 Neutral	$588.75M	357.20	4.45%	―	22.97%	49.49%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
SPT	61 Neutral	$569.59M	―	-26.69%	―	13.09%	32.34%
LAW	53 Neutral	$369.83M	―	-41.00%	―	6.33%	-66.34%
DOMO	51 Neutral	$476.63M	―	―	―	>-0.01%	9.72%
BMBL	44 Neutral	$402.48M	―	-25.34%	―	-7.43%	61.36%

Domo Corporate Events

Domo Inc’s Earnings Call Highlights Record Achievements

Domo Inc’s recent earnings call painted a largely positive picture of the company’s financial health and strategic direction. The call was marked by several record-breaking achievements, including the company’s first-ever positive non-GAAP EPS and strong revenue and billings performance. These accomplishments, coupled with accelerated new ACV growth and increased sales force productivity, underscore Domo’s robust momentum. However, the company also faces challenges, such as stagnant gross retention rates and potential temporary impacts on margins due to increased partner investments.

Domo Inc. Reports Positive Non-GAAP EPS and Revenue Growth

Domo Inc. is a company that operates in the AI and Data Products sector, providing a platform to help businesses leverage data and AI for value creation. In its fiscal second quarter of 2026, Domo reported total revenue of $79.7 million, with subscription revenue contributing $72.7 million. The company achieved a positive non-GAAP net income of $0.9 million, marking its first-ever positive non-GAAP EPS, and a non-GAAP operating margin of 8%. Domo’s subscription remaining performance obligations increased by 19% year over year to $409.8 million, indicating strong future revenue potential. The company also reported a significant improvement in cash flow, with net cash provided by operating activities increasing by 155% year over year. Looking forward, Domo expects its third-quarter revenue to range between $78.5 million and $79.5 million, with a non-GAAP net loss per share between $0.03 and $0.07. For the full fiscal year 2026, revenue is projected to be between $316 million and $320 million. Domo’s management remains optimistic about the company’s growth prospects, driven by ongoing AI innovation and an expanding partner ecosystem.