Zoom Communications, Inc. (ZM) – What Are Brokerages Saying About This Stock?

Shares of Zoom Communications, Inc. (NASDAQ:ZM) have been given an average rating of “Moderate Buy” by the twenty-five ratings firms that are covering the company, MarketBeat.com reports. Eleven analysts have rated the stock with a hold recommendation and fourteen have given a buy recommendation to the company. The average 12-month target price among brokers that have updated their coverage on the stock in the last year is $113.62.

ZM has been the subject of several recent analyst reports. Sanford C. Bernstein reissued a “market perform” rating and issued a $108.00 price target on shares of Zoom Communications in a report on Wednesday, August 26th. Citizens Jmp reissued a “market perform” rating on shares of Zoom Communications in a research report on Wednesday, August 26th. Needham & Company LLC restated a “buy” rating and set a $130.00 price target on shares of Zoom Communications in a research note on Wednesday, August 26th. BTIG Research reaffirmed a “buy” rating and issued a $125.00 price target on shares of Zoom Communications in a report on Monday, August 24th. Finally, KeyCorp reiterated a “sector weight” rating on shares of Zoom Communications in a research note on Wednesday, August 26th.

Zoom Communications Stock Performance

Shares of Zoom Communications stock opened at $97.74 on Friday. The company has a market capitalization of $28.52 billion, a PE ratio of 9.05, a P/E/G ratio of 4.37 and a beta of 1.03. The company has a 50-day simple moving average of $97.72 and a two-hundred day simple moving average of $93.87. Zoom Communications has a one year low of $70.70 and a one year high of $114.74.

Zoom Communications (NASDAQ:ZM) last released its quarterly earnings results on Tuesday, August 25th. The company reported $1.55 earnings per share for the quarter, beating analysts’ consensus estimates of $1.48 by $0.07. The business had revenue of $1.28 billion for the quarter, compared to analysts’ expectations of $1.27 billion. Zoom Communications had a net margin of 65.19% and a return on equity of 10.86%. The company’s revenue was up 4.9% compared to the same quarter last year. During the same period last year, the business earned $1.53 EPS. Zoom Communications has set its FY 2027 guidance at 6.080-6.120 EPS and its Q3 2027 guidance at 1.460-1.480 EPS. On average, equities analysts predict that Zoom Communications will post 4.27 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Zoom Communications news, insider Velchamy Sankarlingam sold 2,590 shares of the business’s stock in a transaction dated Thursday, September 10th. The stock was sold at an average price of $95.81, for a total transaction of $248,147.90. Following the sale, the insider owned 149,265 shares in the company, valued at approximately $14,301,079.65. The trade was a 1.71% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Santiago Subotovsky sold 2,637 shares of the stock in a transaction dated Monday, October 5th. The shares were sold at an average price of $93.74, for a total value of $247,192.38. Following the completion of the transaction, the director directly owned 121,786 shares in the company, valued at $11,416,219.64. This represents a 2.12% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 59,719 shares of company stock valued at $5,754,795. 8.83% of the stock is owned by company insiders.

Hedge Funds Weigh In On Zoom Communications

A number of institutional investors have recently bought and sold shares of the business. Sherry Group Inc. lifted its stake in Zoom Communications by 106.0% during the 3rd quarter. Sherry Group Inc. now owns 18,825 shares of the company’s stock valued at $1,666,000 after acquiring an additional 9,685 shares during the period. Prism Advisors Inc. acquired a new stake in shares of Zoom Communications in the third quarter worth $219,000. Wedmont Private Capital increased its stake in shares of Zoom Communications by 6.8% in the third quarter. Wedmont Private Capital now owns 4,324 shares of the company’s stock worth $409,000 after acquiring an additional 277 shares during the period. Mn Services Vermogensbeheer B.V. raised its holdings in shares of Zoom Communications by 7.5% during the third quarter. Mn Services Vermogensbeheer B.V. now owns 72,051 shares of the company’s stock worth $6,540,000 after purchasing an additional 5,000 shares during the last quarter. Finally, First Heartland Consultants Inc. purchased a new position in shares of Zoom Communications during the third quarter worth $1,870,000. 66.54% of the stock is owned by hedge funds and other institutional investors.

Zoom Communications Company Profile

Zoom Communications, Inc (NASDAQ:ZM), formerly known as Zoom Video Communications, is a cloud-based communications and collaboration technology company. Its platform enables organizations and individuals to connect through video meetings, voice communications, messaging, webinars and other digital collaboration tools.

The company’s Zoom Workplace platform includes products such as Zoom Meetings, Zoom Phone, Team Chat, Whiteboard and Zoom Rooms. Zoom also provides Zoom Contact Center, Zoom Events and other tools designed to support customer engagement, employee collaboration and hybrid work.