Zoom Communications, Inc. (NASDAQ:ZM) Receives Consensus Recommendation of “Hold” from Analysts

Shares of Zoom Communications, Inc. (NASDAQ:ZM) have earned a consensus recommendation of “Hold” from the twenty-seven analysts that are presently covering the stock, Marketbeat Ratings reports. One analyst has rated the stock with a sell recommendation, fourteen have assigned a hold recommendation and twelve have assigned a buy recommendation to the company. The average twelve-month price target among analysts that have issued ratings on the stock in the last year is $93.00.

ZM has been the subject of several research analyst reports. Zacks Research cut shares of Zoom Communications from a “strong-buy” rating to a “hold” rating in a report on Monday, November 10th. UBS Group started coverage on shares of Zoom Communications in a research report on Monday, October 20th. They issued a “neutral” rating and a $85.00 price objective on the stock. Stifel Nicolaus increased their target price on Zoom Communications from $80.00 to $90.00 and gave the stock a “hold” rating in a report on Thursday, September 18th. Benchmark lifted their price target on Zoom Communications from $102.00 to $110.00 and gave the company a “buy” rating in a research note on Thursday, September 18th. Finally, Cantor Fitzgerald restated a “neutral” rating and issued a $87.00 price target on shares of Zoom Communications in a report on Tuesday, November 25th.

Insider Transactions at Zoom Communications

In other Zoom Communications news, COO Aparna Bawa sold 10,528 shares of the business’s stock in a transaction that occurred on Thursday, October 16th. The stock was sold at an average price of $79.77, for a total value of $839,818.56. Following the sale, the chief operating officer owned 1,978 shares in the company, valued at approximately $157,785.06. The trade was a 84.18% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, Director Santiago Subotovsky sold 2,475 shares of the firm’s stock in a transaction that occurred on Thursday, December 4th. The stock was sold at an average price of $86.05, for a total transaction of $212,973.75. Following the transaction, the director directly owned 147,694 shares of the company’s stock, valued at $12,709,068.70. This represents a 1.65% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 462,751 shares of company stock worth $38,730,439. 11.51% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the business. Candriam S.C.A. increased its stake in Zoom Communications by 49.4% in the second quarter. Candriam S.C.A. now owns 16,560 shares of the company’s stock valued at $1,291,000 after acquiring an additional 5,477 shares during the last quarter. Catalyst Funds Management Pty Ltd acquired a new stake in shares of Zoom Communications in the 2nd quarter valued at $1,248,000. Shelton Capital Management boosted its holdings in shares of Zoom Communications by 519.3% in the 2nd quarter. Shelton Capital Management now owns 215,500 shares of the company’s stock valued at $16,805,000 after purchasing an additional 180,700 shares in the last quarter. Brighton Jones LLC bought a new position in shares of Zoom Communications in the 2nd quarter valued at $817,000. Finally, Norges Bank acquired a new position in shares of Zoom Communications during the 2nd quarter worth $539,998,000. Institutional investors own 66.54% of the company’s stock.

Zoom Communications Price Performance

NASDAQ ZM opened at $86.29 on Thursday. Zoom Communications has a one year low of $64.41 and a one year high of $91.43. The firm has a market cap of $25.55 billion, a P/E ratio of 16.79, a P/E/G ratio of 7.75 and a beta of 0.81. The stock’s 50-day moving average is $85.31 and its 200-day moving average is $80.86.

Zoom Communications (NASDAQ:ZM) last issued its quarterly earnings data on Monday, November 24th. The company reported $1.52 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.44 by $0.08. The business had revenue of $1.23 billion during the quarter, compared to analyst estimates of $1.21 billion. Zoom Communications had a return on equity of 12.20% and a net margin of 33.17%.Zoom Communications’s quarterly revenue was up 4.4% compared to the same quarter last year. During the same period in the previous year, the firm earned $1.38 EPS. 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 anticipate that Zoom Communications will post 2.93 EPS 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.