Freedom: Oura doubled its subscriber base ahead of an IPO valuing it at over $16 млрд

Rapid revenue growth, an increase in paid subscribers, and improving operating profitability make the upcoming IPO of smart-ring maker Oura (OURA) a standout deal in the digital health market, Freedom Broker analysts note. The company plans to raise up to $3 млрд at a business valuation of more than $16 млрд.

Read the details here in Freedom Broker’s biweekly market review No. 353.

Rings for a healthy lifestyle

Oura makes sensor-enabled rings that track sleep quality, physical activity, stress levels, cardiovascular health, and women’s health metrics. The company is also developing an app that processes device data and generates recommendations using artificial intelligence.

Subscribers are becoming an important part of the business

Freedom Broker highlights the combination of device sales and recurring payments for digital services. Over the first nine months of fiscal 2026, hardware accounted for 80% of Oura’s revenue, with subscriptions contributing the remaining 20%.

As of June 30, 2026, the company served 5 млн paid subscribers across 56 markets. Over the year, their number rose by 100%, and the 12-month retention rate was approximately 85%.

The subscription model provides Oura with a recurring revenue stream in addition to one-time ring sales. The app transforms the metrics collected by the device and provides users with AI-generated recommendations.

Sales run through 8.4 thousand stores

Oura uses both direct sales channels and a partner retail network covering about 8.4 thousand stores. To attract customers, the company also works with employers, government organizations, and healthcare partners.

This model allows Oura to combine direct device sales with traditional retail and corporate channels. The company operates at the intersection of consumer electronics, medical technology, and digital subscription services.

Revenue continues to grow rapidly

In fiscal 2025, Oura’s revenue increased by 123%. Over the first nine months of fiscal 2026, it rose by another 74%. At the same time, the company improved operating profitability. The EBIT margin was 3% in fiscal 2024, increased to 5% in 2025, and reached 6% for the first three quarters of fiscal 2026. Oura’s balance-sheet debt by the end of that period was 36% of total assets.

The company aims to raise up to $3 млрд

Oura filed for an IPO on September 3. According to Bloomberg, the company plans to raise up to $3 млрд in the offering at a valuation of more than $16 млрд. The shares are expected to list on NASDAQ under the ticker OURA..

The company’s valuation rose after the previous round

Oura was founded in 2013. In September 2025, the company raised $875 млн at a valuation of $11 млрд. In the IPO, the business is expected to be valued at more than $16 млрд. Since the previous round, Oura has continued to expand its paid subscriber base, grow revenue, and increase its EBIT margin. By the time it filed, the company served 5 млн paid users and operated in 56 markets.

This is not individual investment advice.