Zoom Communications, Inc. (NASDAQ:ZM) Receives Average Rating of “Moderate Buy” from Brokerages

Zoom Communications, Inc. (NASDAQ:ZM) has earned an average recommendation of “Moderate Buy” from the twenty-seven analysts that are currently covering the firm, MarketBeat reports. One research analyst has rated the stock with a sell rating, twelve have issued a hold rating, thirteen have given a buy rating and one has given a strong buy rating to the company. The average twelve-month price target among analysts that have covered the stock in the last year is $93.8182.

Several analysts recently issued reports on ZM shares. Rosenblatt Securities reissued a “buy” rating and issued a $115.00 price target on shares of Zoom Communications in a report on Tuesday, November 25th. JPMorgan Chase & Co. increased their target price on Zoom Communications from $85.00 to $90.00 and gave the stock a “neutral” rating in a research report on Tuesday, November 25th. Needham & Company LLC reiterated a “buy” rating and issued a $100.00 target price on shares of Zoom Communications in a research note on Tuesday, November 25th. Weiss Ratings reissued a “buy (b-)” rating on shares of Zoom Communications in a report on Monday, December 29th. Finally, Wall Street Zen cut shares of Zoom Communications from a “strong-buy” rating to a “buy” rating in a report on Saturday, November 15th.

Insider Transactions at Zoom Communications

In other Zoom Communications news, CEO Eric S. Yuan sold 73,378 shares of the firm’s stock in a transaction that occurred on Monday, November 3rd. The shares were sold at an average price of $86.15, for a total value of $6,321,514.70. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, COO Aparna Bawa sold 12,137 shares of the business’s stock in a transaction that occurred on Friday, January 16th. The stock was sold at an average price of $81.37, for a total value of $987,587.69. Following the transaction, the chief operating officer owned 1,978 shares of the company’s stock, valued at approximately $160,949.86. This represents a 85.99% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 317,745 shares of company stock worth $27,002,595 in the last quarter. 10.78% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Zoom Communications

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Toth Financial Advisory Corp acquired a new stake in shares of Zoom Communications during the fourth quarter worth $28,000. Elevation Point Wealth Partners LLC acquired a new position in shares of Zoom Communications in the 2nd quarter valued at $27,000. REAP Financial Group LLC boosted its position in shares of Zoom Communications by 181.7% in the 2nd quarter. REAP Financial Group LLC now owns 355 shares of the company’s stock valued at $28,000 after purchasing an additional 229 shares during the period. FNY Investment Advisers LLC purchased a new position in Zoom Communications in the 2nd quarter worth about $31,000. Finally, Root Financial Partners LLC acquired a new stake in Zoom Communications during the 3rd quarter worth about $33,000. Institutional investors own 66.54% of the company’s stock.

Zoom Communications Stock Performance

NASDAQ ZM opened at $85.78 on Monday. Zoom Communications has a one year low of $64.41 and a one year high of $91.43. The company has a 50-day simple moving average of $85.27 and a 200-day simple moving average of $81.66. The firm has a market capitalization of $25.40 billion, a PE ratio of 16.69, a price-to-earnings-growth ratio of 7.71 and a beta of 0.87.

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, topping the consensus estimate of $1.44 by $0.08. Zoom Communications had a net margin of 33.17% and a return on equity of 12.20%. The firm had revenue of $1.23 billion for the quarter, compared to analyst estimates of $1.21 billion. During the same quarter in the prior year, the business earned $1.38 earnings per share. Zoom Communications’s quarterly 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 and its Q4 2026 guidance at 1.480-1.490 EPS. Equities analysts forecast that Zoom Communications will post 2.93 earnings per share for the current year.

About Zoom Communications

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.