SummitTX Capital L.P. Grows Stock Holdings in Zoom Communications, Inc. $ZM

SummitTX Capital L.P. grew its position in shares of Zoom Communications, Inc. (NASDAQ:ZM) by 273.3% in the 1st quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 25,145 shares of the company’s stock after acquiring an additional 18,410 shares during the period. SummitTX Capital L.P.’s holdings in Zoom Communications were worth $2,021,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also recently modified their holdings of the company. Norges Bank bought a new stake in shares of Zoom Communications in the fourth quarter worth about $509,788,000. AQR Capital Management LLC increased its holdings in Zoom Communications by 43.9% during the 4th quarter. AQR Capital Management LLC now owns 12,195,243 shares of the company’s stock valued at $1,052,328,000 after purchasing an additional 3,718,186 shares during the period. Two Sigma Investments LP bought a new position in Zoom Communications during the 3rd quarter valued at approximately $86,709,000. Vanguard Group Inc. raised its position in Zoom Communications by 4.0% during the 4th quarter. Vanguard Group Inc. now owns 26,967,224 shares of the company’s stock valued at $2,327,002,000 after purchasing an additional 1,029,623 shares during the last quarter. Finally, Arrowstreet Capital Limited Partnership raised its position in Zoom Communications by 46.2% during the 3rd quarter. Arrowstreet Capital Limited Partnership now owns 2,645,846 shares of the company’s stock valued at $218,282,000 after purchasing an additional 836,594 shares during the last quarter. 66.54% of the stock is owned by institutional investors.

Insider Buying and Selling

In related news, CEO Eric S. Yuan sold 12,100 shares of the company’s stock in a transaction on Tuesday, June 2nd. The stock was sold at an average price of $111.61, for a total value of $1,350,481.00. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Michelle Chang sold 8,489 shares of the stock in a transaction on Friday, July 10th. The stock was sold at an average price of $90.80, for a total value of $770,801.20. Following the completion of the transaction, the chief financial officer owned 35,452 shares of the company’s stock, valued at approximately $3,219,041.60. This trade represents a 19.32% decrease in their position. The SEC filing for this sale provides additional information. 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. Insiders have sold a total of 48,517 shares of company stock valued at $5,061,783 over the last ninety days. Company insiders own 8.83% of the company’s stock.

Analyst Upgrades and Downgrades

A number of brokerages have recently weighed in on ZM. Royal Bank Of Canada reiterated an “outperform” rating and issued a $130.00 price objective on shares of Zoom Communications in a research report on Tuesday, June 30th. HSBC upped their target price on Zoom Communications from $107.00 to $133.00 and gave the company a “buy” rating in a report on Tuesday, June 2nd. Citigroup raised their price target on Zoom Communications from $122.00 to $126.00 and gave the stock a “buy” rating in a research note on Tuesday, May 26th. Piper Sandler lifted their price target on shares of Zoom Communications from $91.00 to $107.00 and gave the company a “neutral” rating in a report on Friday, May 22nd. Finally, Needham & Company LLC reissued a “buy” rating and set a $130.00 price objective on shares of Zoom Communications in a research report on Thursday, July 2nd. Fifteen equities research analysts have rated the stock with a Buy rating and twelve have issued a Hold rating to the company. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average price target of $109.33.

Zoom Communications Stock Performance

Zoom Communications stock opened at $91.48 on Wednesday. The stock’s 50 day simple moving average is $93.03 and its two-hundred day simple moving average is $89.08. The stock has a market cap of $26.82 billion, a price-to-earnings ratio of 13.43, a PEG ratio of 4.89 and a beta of 1.01. Zoom Communications, Inc. has a fifty-two week low of $69.15 and a fifty-two week high of $114.74.

Zoom Communications (NASDAQ:ZM) last posted its earnings results on Thursday, May 21st. The company reported $1.55 earnings per share for the quarter, topping analysts’ consensus estimates of $1.42 by $0.13. Zoom Communications had a return on equity of 11.87% and a net margin of 41.99%.The firm had revenue of $1.24 billion for the quarter, compared to the consensus estimate of $1.22 billion. During the same quarter in the prior year, the business earned $1.43 EPS. The business’s revenue for the quarter 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. On average, analysts predict that Zoom Communications, Inc. will post 4.21 earnings per share for the current year.

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.