Zoom Communications (NASDAQ:ZM) Stock: Insider Velchamy Sankarlingam Sells 7,645 Shares

Zoom Communications, Inc. (NASDAQ:ZM) insider Velchamy Sankarlingam sold 7,645 shares of Zoom Communications stock in a transaction on Monday, October 12th. The shares were sold at an average price of $99.26, for a total transaction of $758,842.70. Following the completion of the sale, the insider directly owned 151,813 shares in the company, valued at $15,068,958.38. This represents a 4.79% decrease in their position. The transaction was disclosed in a document filed with the SEC, 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.

Velchamy Sankarlingam also recently made the following trade(s):

• On Thursday, September 10th, Velchamy Sankarlingam sold 2,590 shares of Zoom Communications stock. The stock was sold at an average price of $95.81, for a total transaction of $248,147.90.
• On Wednesday, July 15th, Velchamy Sankarlingam sold 7,644 shares of Zoom Communications stock. The stock was sold at an average price of $91.98, for a total transaction of $703,095.12.

Zoom Communications Stock Performance

NASDAQ:ZM opened at $94.47 on Thursday. The stock has a market capitalization of $27.56 billion, a PE ratio of 27.04, a P/E/G ratio of 4.53 and a beta of 1.03. Zoom Communications, Inc. has a fifty-two week low of $70.70 and a fifty-two week high of $114.74. The company has a fifty day moving average of $97.51 and a two-hundred day moving average of $94.38.

Zoom Communications (NASDAQ:ZM) last announced its earnings results on Tuesday, August 25th. The company reported $1.55 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.48 by $0.07. The business had revenue of $1.28 billion for the quarter, compared to analyst estimates 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 for the quarter was up 4.9% compared to the same quarter last year. During the same quarter last year, the business 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. Research analysts forecast that Zoom Communications, Inc. will post 4.27 earnings per share for the current year.

Analyst Ratings Changes

ZM has been the subject of a number of research reports. Needham & Company LLC reaffirmed a “buy” rating and set a $130.00 target price on shares of Zoom Communications in a report on Wednesday, August 26th. Weiss Ratings upgraded Zoom Communications from a “buy (b-)” rating to a “buy (b)” rating in a research report on Thursday, October 8th. Cantor Fitzgerald reissued a “neutral” rating and set a $104.00 price objective on shares of Zoom Communications in a research note on Monday, August 24th. Rosenblatt Securities restated a “buy” rating and issued a $130.00 target price on shares of Zoom Communications in a report on Friday, August 21st. Finally, Morgan Stanley upped their target price on Zoom Communications from $105.00 to $107.00 and gave the company an “equal weight” rating in a report on Wednesday, August 26th. Fourteen analysts have rated the stock with a Buy rating and eleven have given a Hold rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $113.62.

Key Headlines Impacting Zoom Communications

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

• Positive Sentiment: Zoomtopia could provide AI monetization evidence: RBC Capital Markets expects Zoomtopia to offer investors proof that the company can monetize its artificial-intelligence capabilities. Demonstrated customer adoption or increased AI-related revenue could support a renewed growth narrative for ZM. Zoom Communications’ Zoomtopia Expected to Offer AI Monetization Proof
• Positive Sentiment: Contact Center expands in Asia-Pacific: Toku is adding local numbering and PSTN connectivity for Zoom Contact Center, with the service selectable through Zoom’s web portal. The integration could improve regional competitiveness and encourage enterprise adoption. Toku Brings Carrier-Grade APAC Connectivity to Zoom Contact Center
• Neutral Sentiment: AI opportunity is promising, but conviction remains limited: A recent analysis described Zoom’s AI-driven growth potential as encouraging while stopping short of recommending the stock. The caution reflects uncertainty over whether AI can materially accelerate Zoom’s relatively modest growth and justify its valuation. Zoom Communications: AI-Driven Growth Inflection Appears Promising
• Negative Sentiment: Shares underperformed the broader market: ZM closed at $94.48 after a decline of 3.75% from the prior session, indicating weaker near-term investor sentiment. Zoom Communications Declines More Than Market
• Negative Sentiment: Several insiders sold stock: CFO Michelle Chang sold 8,489 shares, insider Velchamy Sankarlingam sold 7,645 shares, and Director Herbert Raymond McMaster sold 3,000 shares. The trades were made under pre-arranged plans, with two sales covering tax obligations, which reduces—but does not eliminate—the negative signaling effect. Zoom Communications Insider Selling

Institutional Investors Weigh In On Zoom Communications

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Thurston Springer Miller Herd & Titak Inc. boosted its holdings in 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 purchasing an additional 200 shares during the last quarter. Rexford Capital Inc. grew its stake in shares of 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 during the period. Elevation Wealth Partners LLC grew its stake in shares of Zoom Communications by 133.8% in the 3rd quarter. Elevation Wealth Partners LLC now owns 477 shares of the company’s stock valued at $43,000 after buying an additional 273 shares during the period. Strategic Investment Solutions Inc. IL increased its holdings in shares of Zoom Communications by 400.0% during the 2nd quarter. Strategic Investment Solutions Inc. IL now owns 500 shares of the company’s stock worth $43,000 after buying an additional 400 shares during the last quarter. Finally, V Square Quantitative Management LLC increased its holdings in shares of Zoom Communications by 100.4% during the 1st quarter. V Square Quantitative Management LLC now owns 505 shares of the company’s stock worth $41,000 after buying an additional 253 shares during the last quarter. 66.54% of the stock is currently owned by institutional investors and hedge funds.

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.