Zoom Communications’ (ZM) “Buy” Rating Reiterated at BTIG Research

Zoom Communications (NASDAQ:ZM)‘s stock had its “buy” rating reissued by research analysts at BTIG Research in a note issued to investors on Wednesday, Benzinga reports. They currently have a $125.00 target price on the stock. BTIG Research‘s price objective points to a potential upside of 25.70% from the company’s previous close.

ZM has been the subject of several other research reports. KeyCorp reaffirmed a “sector weight” rating on shares of Zoom Communications in a research report on Wednesday, August 26th. Yorkville Ives started coverage on Zoom Communications in a report on Tuesday, October 6th. They set an “outperform” rating and a $120.00 target price on the stock. Bank of America initiated coverage on Zoom Communications in a research report on Wednesday, August 19th. They set a “buy” rating and a $130.00 price target on the stock. Morgan Stanley upped their price target on Zoom Communications from $105.00 to $107.00 and gave the stock an “equal weight” rating in a report on Wednesday, August 26th. Finally, Royal Bank Of Canada reiterated an “outperform” rating and set a $130.00 price objective on shares of Zoom Communications in a research note on Wednesday, August 26th. Sixteen equities research analysts have rated the stock with a Buy rating and eleven have assigned a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $114.48.

Zoom Communications Stock Performance

Shares of NASDAQ:ZM traded up $1.98 during midday trading on Wednesday, hitting $99.44. 2,932,769 shares of the company’s stock traded hands, compared to its average volume of 3,907,545. The company has a market cap of $29.02 billion, a PE ratio of 9.21, a P/E/G ratio of 4.51 and a beta of 1.03. The firm’s fifty day moving average price is $96.77 and its two-hundred day moving average price is $95.00. Zoom Communications has a twelve month low of $70.70 and a twelve month high of $114.74.

Zoom Communications (NASDAQ:ZM) last announced its quarterly earnings results on Tuesday, August 25th. The company reported $1.55 earnings per share for the quarter, topping analysts’ consensus estimates of $1.48 by $0.07. Zoom Communications had a net margin of 65.19% and a return on equity of 10.86%. The firm had revenue of $1.28 billion during the quarter, compared to analysts’ expectations of $1.27 billion. During the same period in the prior year, the company earned $1.53 EPS. The firm’s revenue was up 4.9% on a year-over-year basis. 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, equities research analysts anticipate that Zoom Communications will post 4.27 EPS for the current fiscal year.

Insider Activity at Zoom Communications

In related news, Director Herbert Raymond Mcmaster sold 3,000 shares of the business’s stock in a transaction dated Thursday, October 8th. The stock was sold at an average price of $94.71, for a total value of $284,130.00. Following the transaction, the director owned 8,479 shares in the company, valued at approximately $803,046.09. The trade was a 26.13% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 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 of the company’s stock, valued at $11,416,219.64. This represents a 2.12% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 71,209 shares of company stock valued at $6,938,989. 8.83% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Zoom Communications

Several hedge funds and other institutional investors have recently bought and sold shares of ZM. Quadrant Capital Group LLC boosted its stake in shares of Zoom Communications by 2,161.0% during the 3rd quarter. Quadrant Capital Group LLC now owns 4,522 shares of the company’s stock valued at $444,000 after buying an additional 4,322 shares during the last quarter. Nisa Investment Advisors LLC grew its position in shares of Zoom Communications by 29.1% during the third quarter. Nisa Investment Advisors LLC now owns 10,484 shares of the company’s stock worth $952,000 after buying an additional 2,364 shares in the last quarter. Bank Pictet & Cie Europe AG grew its position in shares of Zoom Communications by 5.9% during the third quarter. Bank Pictet & Cie Europe AG now owns 7,177 shares of the company’s stock worth $651,000 after buying an additional 403 shares in the last quarter. Sumitomo Mitsui DS Asset Management Company Ltd increased its stake in shares of Zoom Communications by 0.4% in the third quarter. Sumitomo Mitsui DS Asset Management Company Ltd now owns 26,215 shares of the company’s stock worth $2,380,000 after buying an additional 107 shares during the last quarter. Finally, CWA Asset Management Group LLC increased its stake in shares of Zoom Communications by 10.0% in the third quarter. CWA Asset Management Group LLC now owns 106,383 shares of the company’s stock worth $9,656,000 after buying an additional 9,698 shares during the last quarter. 66.54% of the stock is currently owned by hedge funds and other institutional investors.

Trending Headlines about Zoom Communications

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

• Positive Sentiment: AI platform expansion: Zoom introduced its Unified Context Layer and additional AI tools designed to convert meeting and customer-interaction data into completed work across Zoom Workplace, customer experience, developer tools, and events. The offerings support management’s strategy of broadening Zoom from a videoconferencing provider into an AI-focused business platform. Zoom advances its AI strategy with a new Unified Context Layer
• Positive Sentiment: Oppenheimer upgrade: Oppenheimer raised Zoom to Outperform from Perform and set a $130 price target, citing strong traction and impressive potential for the company’s newer AI services. Zoom Video upgraded at Oppenheimer on AI platform traction
• Positive Sentiment: Broadly favorable analyst view: RBC reaffirmed an Outperform rating with a $130 target, while Rosenblatt and BTIG maintained Buy ratings with $130 and $125 targets, respectively. The analysts’ optimism points to potential upside from enterprise adoption, new products, and revenue reacceleration. Zoom Communications revenue reacceleration supported by enterprise growth
• Positive Sentiment: Long-term growth strategy: At its investor session, Zoom outlined its AI initiatives, new revenue streams, and long-term financial targets, giving investors more visibility into how the company intends to monetize its broader platform. Zoom investor session transcript
• Neutral Sentiment: Remaining caution: Cantor Fitzgerald maintained a Neutral rating with a $104 target, suggesting that investors may require evidence that AI products translate into durable sales and faster growth. Zoom also faces execution and competitive risks as it shifts beyond its core meetings business. Cantor Fitzgerald maintains neutral rating on Zoom

Zoom Communications Company Profile

Zoom Communications, Inc (NASDAQ: ZM) is a communications technology company that provides cloud-based collaboration and customer engagement solutions. Founded in 2011 and headquartered in San Jose, California, the company is best known for Zoom Meetings, its videoconferencing platform for online meetings, webinars and virtual events.

The company’s product portfolio also includes Zoom Phone, a cloud-based business phone service; Zoom Team Chat; Zoom Rooms for hybrid meeting spaces; Zoom Whiteboard; and Zoom Contact Center.