Rosenblatt Securities Forecasts Strong Price Appreciation for Zoom Communications (NASDAQ:ZM) Stock

Zoom Communications (NASDAQ:ZM) had its price target hoisted by research analysts at Rosenblatt Securities from $115.00 to $130.00 in a research report issued to clients and investors on Friday,Benzinga reports. The brokerage currently has a “buy” rating on the stock. Rosenblatt Securities’ price target indicates a potential upside of 34.37% from the company’s current price.

ZM has been the topic of several other research reports. Mizuho increased their target price on Zoom Communications from $100.00 to $120.00 and gave the stock an “outperform” rating in a research note on Friday. Wolfe Research raised Zoom Communications from a “peer perform” rating to an “outperform” rating and set a $115.00 price target on the stock in a research report on Thursday, February 5th. BTIG Research increased their price target on Zoom Communications from $100.00 to $125.00 and gave the company a “buy” rating in a research report on Friday. Robert W. Baird increased their price target on Zoom Communications from $95.00 to $105.00 and gave the company an “outperform” rating in a research report on Tuesday. Finally, Zacks Research lowered Zoom Communications from a “strong-buy” rating to a “hold” rating in a research report on Friday, February 13th. Fourteen investment analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $104.20.

Zoom Communications Stock Down 2.7%

Shares of Zoom Communications stock opened at $96.75 on Friday. Zoom Communications has a 52 week low of $69.15 and a 52 week high of $111.56. The business’s fifty day simple moving average is $88.14 and its 200-day simple moving average is $86.59. The firm has a market cap of $28.51 billion, a PE ratio of 15.60, a price-to-earnings-growth ratio of 5.69 and a beta of 1.00.

Zoom Communications (NASDAQ:ZM) last posted its earnings results on Thursday, May 21st. The company reported $1.55 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.41 by $0.14. Zoom Communications had a return on equity of 11.88% and a net margin of 39.03%.The firm had revenue of $1.24 billion for the quarter, compared to analyst estimates of $1.22 billion. During the same quarter in the prior year, the company earned $1.43 EPS. Zoom Communications’s revenue was up 5.5% on a year-over-year basis. Zoom Communications has set its FY 2027 guidance at 5.960-6.000 EPS and its Q2 2027 guidance at 1.450-1.470 EPS. As a group, equities analysts expect that Zoom Communications will post 3.94 earnings per share for the current year.

Insiders Place Their Bets

In related news, Director Santiago Subotovsky sold 5,274 shares of the firm’s stock in a transaction that occurred on Monday, May 4th. The stock was sold at an average price of $106.58, for a total transaction of $562,102.92. Following the transaction, the director owned 142,882 shares in the company, valued at $15,228,363.56. This trade represents a 3.56% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Eric S. Yuan sold 69,923 shares of the stock in a transaction that occurred on Monday, April 13th. The stock was sold at an average price of $81.22, for a total value of $5,679,146.06. Following the sale, the chief executive officer directly owned 36,796 shares of the company’s stock, valued at $2,988,571.12. The trade was a 65.52% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 144,329 shares of company stock worth $12,364,989. 11.51% of the stock is currently owned by company insiders.

Institutional Trading of Zoom Communications

Hedge funds have recently added to or reduced their stakes in the stock. Mitsubishi UFJ Asset Management Co. Ltd. lifted its position in Zoom Communications by 10.5% during the 3rd quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 238,753 shares of the company’s stock worth $19,697,000 after acquiring an additional 22,704 shares during the period. Strive Asset Management LLC acquired a new stake in shares of Zoom Communications in the 3rd quarter valued at approximately $1,238,000. LSV Asset Management lifted its holdings in shares of Zoom Communications by 5.0% in the 3rd quarter. LSV Asset Management now owns 1,069,440 shares of the company’s stock valued at $88,229,000 after buying an additional 50,579 shares during the period. Krilogy Financial LLC acquired a new stake in shares of Zoom Communications in the 3rd quarter valued at approximately $1,963,000. Finally, Sherry Group Inc. acquired a new stake in shares of Zoom Communications in the 4th quarter valued at approximately $894,000. 66.54% of the stock is owned by institutional investors and hedge funds.

Zoom Communications News Roundup

Here are the key news stories impacting Zoom Communications this week:

• Positive Sentiment: Zoom beat Q1 earnings and revenue expectations, with EPS of $1.55 versus $1.41 expected and revenue of $1.24 billion versus $1.22 billion forecast, signaling continued operational strength.
• Positive Sentiment: The company raised its full-year outlook, with management pointing to stronger demand for AI features and enterprise usage, which suggests improving growth momentum. Reuters: Zoom raises annual forecasts, banks on AI features to drive demand
• Positive Sentiment: Several firms turned more constructive on the stock after earnings: Needham raised its target to $130 and reiterated Buy, BTIG lifted its target to $125 and Buy, Mizuho raised its target to $120 and Outperform, and Benchmark increased its target to $121 and Buy.
• Positive Sentiment: KeyCorp upgraded Zoom from Underweight to Sector Weight, adding to the improving analyst sentiment around the shares.
• Neutral Sentiment: Piper Sandler raised its price target to $107 but kept a Neutral rating, indicating limited near-term conviction despite the improved outlook.

About Zoom Communications

Zoom Video Communications, Inc (commonly referred to as Zoom) is a provider of cloud-based communications and collaboration solutions. The company’s platform supports video conferencing, voice calling, instant messaging, webinars and large-scale virtual events, and meeting room systems, marketed to businesses, educational institutions, government organizations and individual users. Zoom’s product lineup includes Zoom Meetings, Zoom Phone, Zoom Rooms, Zoom Video Webinars and Zoom Chat, and the company offers integrations and extensions through a developer marketplace and third-party apps.

Founded in 2011 by Eric S.