Zoom Communications, Inc. (NASDAQ:ZM) Given Average Rating of “Moderate Buy” by Brokerages

Shares of Zoom Communications, Inc. (NASDAQ:ZM) have been given an average rating of “Moderate Buy” by the twenty-eight analysts that are covering the company, Marketbeat reports. Twelve research analysts have rated the stock with a hold recommendation and sixteen have assigned a buy recommendation to the company. The average 1-year price objective among brokerages that have updated their coverage on the stock in the last year is $112.5455.

A number of brokerages have recently issued reports on ZM. Morgan Stanley boosted their price target on shares of Zoom Communications from $105.00 to $107.00 and gave the stock an “equal weight” rating in a research report on Wednesday, August 26th. Rosenblatt Securities reissued a “buy” rating and set a $130.00 target price on shares of Zoom Communications in a research note on Friday, August 21st. Citigroup boosted their target price on shares of Zoom Communications from $122.00 to $126.00 and gave the company a “buy” rating in a report on Tuesday, May 26th. Jefferies Financial Group decreased their price target on Zoom Communications from $118.00 to $116.00 and set a “buy” rating for the company in a report on Wednesday, August 26th. Finally, BTIG Research reissued a “buy” rating and issued a $125.00 price objective on shares of Zoom Communications in a research report on Monday, August 24th.

Insiders Place Their Bets

In other Zoom Communications news, CFO Michelle Chang sold 8,489 shares of Zoom Communications stock in a transaction that occurred 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 sale, the chief financial officer directly owned 35,452 shares in the company, valued at approximately $3,219,041.60. The trade was a 19.32% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 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, CEO Eric Yuan sold 12,100 shares of the business’s stock in a transaction that occurred on Tuesday, September 1st. The shares were sold at an average price of $95.34, for a total value of $1,153,614.00. Following the completion of the transaction, the chief executive officer directly owned 22,998 shares in the company, valued at approximately $2,192,629.32. This trade represents a 34.47% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 56,108 shares of company stock valued at $5,381,876. Company insiders own 8.83% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of ZM. Advocate Investing Services LLC acquired a new position in shares of Zoom Communications during the fourth quarter valued at about $26,000. Strive Financial Group LLC acquired a new stake in shares of Zoom Communications in the 4th quarter valued at about $27,000. Thurston Springer Miller Herd & Titak Inc. grew its stake in shares of Zoom Communications by 133.3% in the 2nd quarter. Thurston Springer Miller Herd & Titak Inc. now owns 350 shares of the company’s stock valued at $30,000 after buying an additional 200 shares during the period. Rexford Capital Inc. increased its position in Zoom Communications by 45.7% in the 1st quarter. Rexford Capital Inc. now owns 389 shares of the company’s stock valued at $31,000 after buying an additional 122 shares in the last quarter. Finally, Towarzystwo Funduszy Inwestycyjnych PZU SA increased its position in Zoom Communications by 83.3% in the 4th quarter. Towarzystwo Funduszy Inwestycyjnych PZU SA now owns 440 shares of the company’s stock valued at $38,000 after buying an additional 200 shares in the last quarter. 66.54% of the stock is owned by institutional investors.

Zoom Communications Trading Up 0.1%

NASDAQ ZM opened at $95.57 on Tuesday. Zoom Communications has a 12 month low of $70.70 and a 12 month high of $114.74. The firm has a market capitalization of $27.89 billion, a PE ratio of 8.85, a price-to-earnings-growth ratio of 4.42 and a beta of 1.04. The business’s 50-day moving average price is $96.84 and its two-hundred day moving average price is $91.80.

Zoom Communications (NASDAQ:ZM) last posted its quarterly earnings data on Tuesday, August 25th. The company reported $1.55 EPS for the quarter, topping analysts’ consensus estimates of $1.48 by $0.07. The company had revenue of $1.28 billion for the quarter, compared to analyst estimates of $1.27 billion. Zoom Communications had a return on equity of 10.86% and a net margin of 65.19%.The firm’s quarterly revenue was up 4.9% on a year-over-year basis. During the same period in the previous year, the firm earned $1.53 earnings per share. 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. As a group, analysts forecast that Zoom Communications will post 4.26 earnings per share for the current fiscal year.

About Zoom Communications

Zoom Communications, Inc (NASDAQ: ZM) is a communications technology company that provides cloud-based tools for video meetings, collaboration and business communications. The company was founded in 2011 by Eric Yuan and is headquartered in San Jose, California. It was previously known as Zoom Video Communications before adopting the Zoom Communications name.

Its product portfolio includes Zoom Meetings for video conferencing, Zoom Phone for cloud-based business telephony, Zoom Team Chat for workplace messaging, and Zoom Rooms for conference-room collaboration.