Zoom Communications (NASDAQ:ZM) Price Target Raised to $130.00 at Royal Bank Of Canada

Zoom Communications (NASDAQ:ZM) had its price objective hoisted by research analysts at Royal Bank Of Canada from $110.00 to $130.00 in a research report issued on Friday,Benzinga reports. The firm currently has an “outperform” rating on the stock. Royal Bank Of Canada’s target price would suggest a potential upside of 21.29% from the company’s current price.

Several other research analysts have also recently commented on the stock. Argus upgraded shares of Zoom Communications to a “hold” rating in a report on Monday, March 9th. Robert W. Baird raised their target price on shares of Zoom Communications from $95.00 to $105.00 and gave the stock an “outperform” rating in a report on Tuesday. Wolfe Research upgraded shares of Zoom Communications from a “peer perform” rating to an “outperform” rating and set a $115.00 target price for the company in a report on Thursday, February 5th. Citigroup raised their target price on shares of Zoom Communications from $106.00 to $122.00 and gave the stock a “buy” rating in a report on Friday, May 15th. Finally, Wall Street Zen lowered shares of Zoom Communications from a “buy” rating to a “hold” rating in a research report on Saturday, March 7th. Fourteen analysts have rated the stock with a Buy rating and twelve have issued a Hold rating to the stock. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $107.95.

Zoom Communications Trading Up 10.8%

ZM stock traded up $10.44 during mid-day trading on Friday, reaching $107.19. 5,822,423 shares of the stock traded hands, compared to its average volume of 4,412,194. Zoom Communications has a 52-week low of $69.15 and a 52-week high of $113.73. The stock’s fifty day moving average is $88.14 and its 200-day moving average is $86.59. The company has a market cap of $31.58 billion, a P/E ratio of 17.30, a P/E/G ratio of 5.69 and a beta of 1.00.

Zoom Communications (NASDAQ:ZM) last announced its earnings results on Thursday, May 21st. The company reported $1.55 EPS for the quarter, topping the consensus estimate of $1.41 by $0.14. Zoom Communications had a net margin of 39.03% and a return on equity of 11.88%. The company had revenue of $1.24 billion during the quarter, compared to analysts’ expectations of $1.22 billion. During the same period last year, the company posted $1.43 earnings per share. 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. Equities research analysts expect that Zoom Communications will post 3.94 earnings per share for the current year.

Insiders Place Their Bets

In related news, CEO Eric S. Yuan sold 12,100 shares of the firm’s stock in a transaction that occurred on Monday, May 4th. The shares were sold at an average price of $106.60, for a total transaction of $1,289,860.00. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Aparna Bawa sold 12,886 shares of the firm’s stock in a transaction that occurred on Friday, April 17th. The shares were sold at an average price of $87.62, for a total transaction of $1,129,071.32. Following the transaction, the chief operating officer directly owned 1,978 shares in the company, valued at approximately $173,312.36. The trade was a 86.69% 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. Insiders sold 144,329 shares of company stock valued at $12,364,989 over the last ninety days. Insiders own 11.51% of the company’s stock.

Hedge Funds Weigh In On Zoom Communications

Several hedge funds and other institutional investors have recently added to or reduced their stakes in ZM. Norges Bank bought a new position in Zoom Communications during the fourth quarter valued at approximately $509,788,000. AQR Capital Management LLC raised its position in Zoom Communications by 43.9% during the fourth quarter. AQR Capital Management LLC now owns 12,195,243 shares of the company’s stock valued at $1,052,328,000 after acquiring an additional 3,718,186 shares in the last quarter. Atreides Management LP bought a new position in Zoom Communications during the first quarter valued at approximately $105,761,000. Two Sigma Investments LP bought a new position in Zoom Communications during the third quarter valued at approximately $86,709,000. Finally, Vanguard Group Inc. raised its position in Zoom Communications by 4.0% during the fourth quarter. Vanguard Group Inc. now owns 26,967,224 shares of the company’s stock valued at $2,327,002,000 after acquiring an additional 1,029,623 shares in the last quarter. Institutional investors own 66.54% of the company’s stock.

Key Zoom Communications News

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

• Positive Sentiment: Rosenblatt raised its price target to $130 and reiterated a buy rating, citing upside from strong execution and AI-driven growth.
• Positive Sentiment: Needham lifted its target to $130 and kept a buy rating following the earnings beat.
• Positive Sentiment: BTIG increased its target to $125 and maintained a buy rating.
• Positive Sentiment: Mizuho raised its target to $120 and kept an outperform rating.
• Positive Sentiment: Benchmark also raised its target, reflecting broader analyst optimism after the quarter.
• Positive Sentiment: KeyCorp upgraded Zoom from underweight to sector weight, indicating a more constructive view on the stock.
• Neutral Sentiment: Piper Sandler raised its target but kept a neutral rating, suggesting some upside is already priced in.

Zoom Communications Company Profile

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.