Zoom Communications’ (ZM) Outperform Rating Reiterated at Royal Bank Of Canada

Royal Bank Of Canada reiterated their outperform rating on shares of Zoom Communications (NASDAQ:ZM) in a report issued on Tuesday,Benzinga reports. The brokerage currently has a $100.00 target price on the stock.

ZM has been the subject of several other reports. Needham & Company LLC reissued a “buy” rating and set a $100.00 price objective on shares of Zoom Communications in a report on Tuesday. Citigroup increased their price target on shares of Zoom Communications from $85.00 to $94.00 and gave the stock a “neutral” rating in a research report on Monday, November 17th. Robert W. Baird lowered their price objective on Zoom Communications from $100.00 to $95.00 and set an “outperform” rating for the company in a report on Friday, August 22nd. William Blair restated an “outperform” rating on shares of Zoom Communications in a research note on Tuesday, September 30th. Finally, Dbs Bank raised Zoom Communications to a “moderate buy” rating in a report on Tuesday, September 16th. Ten equities research analysts have rated the stock with a Buy rating, fifteen have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the company has an average rating of “Hold” and an average target price of $92.43.

Zoom Communications Stock Down 2.2%

Shares of NASDAQ ZM opened at $84.43 on Tuesday. Zoom Communications has a fifty-two week low of $64.41 and a fifty-two week high of $91.04. The business has a 50 day moving average price of $82.52 and a two-hundred day moving average price of $79.76. The firm has a market cap of $25.54 billion, a PE ratio of 16.43, a price-to-earnings-growth ratio of 8.03 and a beta of 0.79.

Zoom Communications (NASDAQ:ZM) last released its earnings results on Monday, November 24th. The company reported $1.52 EPS for the quarter, beating the consensus estimate of $1.44 by $0.08. Zoom Communications had a return on equity of 12.20% and a net margin of 33.17%.The company had revenue of $1.23 billion during the quarter, compared to analysts’ expectations of $1.21 billion. During the same period in the prior year, the business posted $1.38 EPS. The business’s revenue was up 4.4% on a year-over-year basis. 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, analysts anticipate that Zoom Communications will post 2.93 earnings per share for the current year.

Insider Activity at Zoom Communications

In related news, COO Aparna Bawa sold 10,528 shares of the company’s stock in a transaction on Thursday, October 16th. The stock was sold at an average price of $79.77, for a total transaction of $839,818.56. Following the completion of the transaction, the chief operating officer directly owned 1,978 shares in the company, valued at $157,785.06. This represents a 84.18% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Velchamy Sankarlingam sold 7,660 shares of the firm’s stock in a transaction 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 completion of the sale, the insider owned 132,795 shares in the company, valued at $10,889,190. The trade was a 5.45% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders sold 389,373 shares of company stock valued at $32,311,579. 11.51% of the stock is owned by insiders.

Institutional Trading of Zoom Communications

A number of large investors have recently modified their holdings of ZM. CIBC Bancorp USA Inc. acquired a new position in Zoom Communications during the 3rd quarter valued at about $731,000. Ariadne Wealth Management LP acquired a new stake in shares of Zoom Communications in the third quarter valued at approximately $355,000. Caerus Investment Advisors LLC bought a new stake in shares of Zoom Communications during the third quarter valued at approximately $920,000. Sunbelt Securities Inc. raised its holdings in shares of Zoom Communications by 26,312.0% during the third quarter. Sunbelt Securities Inc. now owns 6,603 shares of the company’s stock valued at $545,000 after buying an additional 6,578 shares during the last quarter. Finally, Captrust Financial Advisors boosted its position in shares of Zoom Communications by 58.9% during the third quarter. Captrust Financial Advisors now owns 35,998 shares of the company’s stock worth $2,970,000 after buying an additional 13,341 shares during the period. Institutional investors and hedge funds own 66.54% of the company’s stock.

About Zoom Communications

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.