Zoom Communications (NASDAQ:ZM) Reaches New 52-Week High After Analyst Upgrade

Zoom Communications, Inc. (NASDAQ:ZM)’s share price reached a new 52-week high on Wednesday after JPMorgan Chase & Co. raised their price target on the stock from $85.00 to $90.00. JPMorgan Chase & Co. currently has a neutral rating on the stock. Zoom Communications traded as high as $91.04 and last traded at $86.34, with a volume of 12564890 shares changing hands. The stock had previously closed at $78.60.

A number of other research analysts have also recently commented on ZM. UBS Group started coverage on Zoom Communications in a research note on Monday, October 20th. They issued a “neutral” rating and a $85.00 target price for the company. Wall Street Zen downgraded Zoom Communications from a “strong-buy” rating to a “buy” rating in a report on Saturday, November 15th. Dbs Bank raised Zoom Communications to a “moderate buy” rating in a research report on Tuesday, September 16th. Benchmark boosted their target price on shares of Zoom Communications from $102.00 to $110.00 and gave the company a “buy” rating in a report on Thursday, September 18th. Finally, Weiss Ratings reiterated a “hold (c+)” rating on shares of Zoom Communications in a research note on Monday, November 17th. Ten equities research analysts have rated the stock with a Buy rating, fifteen have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus target price of $92.43.

Insider Buying and Selling

In other news, insider Velchamy Sankarlingam sold 7,660 shares of the company’s stock in a transaction that occurred on Friday, October 10th. The shares were sold at an average price of $82.00, for a total value of $628,120.00. Following the transaction, the insider owned 132,795 shares in the company, valued at approximately $10,889,190. This represents a 5.45% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, COO Aparna Bawa sold 10,528 shares of the firm’s stock in a transaction that occurred on Thursday, October 16th. The shares were sold at an average price of $79.77, for a total transaction of $839,818.56. Following the sale, the chief operating officer directly owned 1,978 shares of the company’s stock, valued at $157,785.06. This trade represents a 84.18% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 389,373 shares of company stock worth $32,311,579 over the last quarter. 10.78% of the stock is owned by insiders.

Institutional Trading of Zoom Communications

Institutional investors have recently added to or reduced their stakes in the business. Norges Bank bought a new position in shares of Zoom Communications during the second quarter valued at $539,998,000. AQR Capital Management LLC increased its holdings in Zoom Communications by 23.4% in the 3rd quarter. AQR Capital Management LLC now owns 8,477,057 shares of the company’s stock worth $699,357,000 after buying an additional 1,607,253 shares in the last quarter. Acadian Asset Management LLC increased its holdings in Zoom Communications by 41.1% in the 2nd quarter. Acadian Asset Management LLC now owns 3,769,480 shares of the company’s stock worth $293,909,000 after buying an additional 1,097,333 shares in the last quarter. Two Sigma Investments LP purchased a new position in Zoom Communications in the 3rd quarter worth about $86,709,000. Finally, Vanguard Group Inc. lifted its stake in Zoom Communications by 4.0% during the 3rd quarter. Vanguard Group Inc. now owns 25,937,601 shares of the company’s stock valued at $2,139,852,000 after acquiring an additional 986,164 shares during the period. 66.54% of the stock is currently owned by hedge funds and other institutional investors.

Zoom Communications Trading Up 9.8%

The company’s 50 day simple moving average is $82.61 and its 200-day simple moving average is $79.69. The firm has a market cap of $26.12 billion, a P/E ratio of 16.80, a PEG ratio of 10.72 and a beta of 0.79.

Zoom Communications (NASDAQ:ZM) last released its quarterly earnings data on Monday, November 24th. The company reported $1.52 earnings per share for the quarter, beating the consensus estimate of $1.44 by $0.08. The firm had revenue of $1.23 billion during the quarter, compared to analysts’ expectations of $1.21 billion. Zoom Communications had a net margin of 33.17% and a return on equity of 12.33%. The firm’s quarterly revenue was up 4.4% on a year-over-year basis. During the same period in the previous year, the company earned $1.38 earnings per share. Zoom Communications has set its FY 2026 guidance at 5.950-5.970 EPS. Q4 2026 guidance at 1.480-1.490 EPS. On average, sell-side analysts anticipate that Zoom Communications, Inc. will post 2.93 earnings per share for the current year.

Zoom Communications Company Profile

Zoom Video Communications, Inc provides unified communications platform in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. The company offers Zoom Meetings that offers HD video, voice, chat, and content sharing through mobile devices, desktops, laptops, telephones, and conference room systems; Zoom Phone, an enterprise cloud phone system; and Zoom Chat enables users to share messages, images, audio files, and content in desktop, laptop, tablet, and mobile devices.