Zoom Video Communications Target of Unusually High Options Trading (NASDAQ:ZM)

Zoom Video Communications, Inc. (NASDAQ:ZM – Get Rating) was the target of some unusual options trading activity on Thursday. Investors acquired 82,179 call options on the company. This represents an increase of 119% compared to the average volume of 37,494 call options.

Zoom Video Communications Price Performance

Shares of NASDAQ:ZM opened at $65.12 on Friday. Zoom Video Communications has a 1 year low of $60.45 and a 1 year high of $124.05. The company has a market capitalization of $19.13 billion, a PE ratio of 141.57, a price-to-earnings-growth ratio of 3.54 and a beta of -0.22. The business has a fifty day moving average price of $67.17 and a two-hundred day moving average price of $71.07.

Zoom Video Communications (NASDAQ:ZM – Get Rating) last posted its quarterly earnings results on Monday, May 22nd. The company reported $1.16 earnings per share for the quarter, topping the consensus estimate of $0.99 by $0.17. Zoom Video Communications had a return on equity of 2.38% and a net margin of 0.12%. The company had revenue of $1.11 billion during the quarter, compared to the consensus estimate of $1.08 billion. During the same quarter in the prior year, the company earned $0.47 EPS. The firm’s quarterly revenue was up 2.9% compared to the same quarter last year. Sell-side analysts anticipate that Zoom Video Communications will post 0.74 earnings per share for the current year.

Analyst Ratings Changes

Several brokerages have recently weighed in on ZM. Royal Bank of Canada increased their price objective on shares of Zoom Video Communications from $85.00 to $95.00 and gave the stock an “outperform” rating in a report on Wednesday, February 8th. Benchmark reissued a “buy” rating and set a $102.00 price target on shares of Zoom Video Communications in a research report on Tuesday, February 28th. Roth Capital restated a “neutral” rating on shares of Zoom Video Communications in a research note on Wednesday, February 8th. Citigroup lifted their price target on shares of Zoom Video Communications from $67.00 to $68.00 and gave the company a “sell” rating in a report on Wednesday, March 1st. Finally, Rosenblatt Securities assumed coverage on Zoom Video Communications in a research report on Thursday, March 23rd. They issued a “neutral” rating and a $75.00 target price on the stock. One equities research analyst has rated the stock with a sell rating, seventeen have assigned a hold rating and five have assigned a buy rating to the company’s stock. According to data from MarketBeat, the stock has an average rating of “Hold” and a consensus price target of $86.50.

Insider Activity

In related news, CFO Kelly Steckelberg sold 3,224 shares of the business’s stock in a transaction on Wednesday, March 1st. The shares were sold at an average price of $70.97, for a total value of $228,807.28. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. In related news, CFO Kelly Steckelberg sold 3,224 shares of the stock in a transaction on Wednesday, March 1st. The stock was sold at an average price of $70.97, for a total transaction of $228,807.28. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, COO Aparna Bawa sold 14,000 shares of the stock in a transaction dated Wednesday, March 1st. The stock was sold at an average price of $70.93, for a total transaction of $993,020.00. Following the transaction, the chief operating officer now directly owns 76,777 shares of the company’s stock, valued at $5,445,792.61. The disclosure for this sale can be found here. In the last three months, insiders have sold 103,893 shares of company stock worth $7,116,654. 11.28% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Zoom Video Communications

Hedge funds and other institutional investors have recently modified their holdings of the stock. Accurate Wealth Management LLC bought a new stake in shares of Zoom Video Communications in the 4th quarter worth $26,000. Proficio Capital Partners LLC bought a new position in shares of Zoom Video Communications during the 1st quarter valued at about $26,000. Money Concepts Capital Corp grew its holdings in Zoom Video Communications by 821.2% during the 4th quarter. Money Concepts Capital Corp now owns 479 shares of the company’s stock valued at $32,000 after buying an additional 427 shares in the last quarter. Global Wealth Management Investment Advisory Inc. raised its stake in Zoom Video Communications by 63.3% during the first quarter. Global Wealth Management Investment Advisory Inc. now owns 294 shares of the company’s stock valued at $34,000 after purchasing an additional 114 shares in the last quarter. Finally, TCI Wealth Advisors Inc. raised its position in Zoom Video Communications by 57.9% during the third quarter. TCI Wealth Advisors Inc. now owns 529 shares of the company’s stock valued at $39,000 after purchasing an additional 194 shares during the period. Institutional investors own 52.96% of the company’s stock.

About Zoom Video Communications

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Zoom Video Communications, Inc engages in the provision of video-first communications platform. The firm offers meetings, chat, rooms and workspaces, phone systems, video webinars, marketplace, and developer platform products. It serves the education, finance, government, and healthcare industries. Its platform helps people to connect through voice, chat, content sharing, and face-to-face video experiences.