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

Zoom Communications, Inc. (NASDAQ:ZM) has earned a consensus rating of “Hold” from the twenty-eight brokerages that are currently covering the stock, Marketbeat.com reports. One research analyst has rated the stock with a sell rating, thirteen have given a hold rating and fourteen have assigned a buy rating to the company. The average 1 year price target among analysts that have issued ratings on the stock in the last year is $94.7391.

ZM has been the subject of several recent analyst reports. 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. Wedbush reaffirmed an “outperform” rating and issued a $95.00 price objective on shares of Zoom Communications in a research report on Tuesday, November 25th. Jefferies Financial Group lifted their target price on shares of Zoom Communications from $100.00 to $105.00 and gave the stock a “buy” rating in a research note on Tuesday, November 25th. Royal Bank Of Canada restated an “outperform” rating and set a $100.00 price target on shares of Zoom Communications in a research note on Tuesday, November 25th. Finally, JPMorgan Chase & Co. lifted their price objective on shares of Zoom Communications from $85.00 to $90.00 and gave the stock a “neutral” rating in a research note on Tuesday, November 25th.

Zoom Communications Stock Down 0.2%

Shares of Zoom Communications stock opened at $90.96 on Friday. The company has a market cap of $26.93 billion, a P/E ratio of 17.70, a PEG ratio of 8.16 and a beta of 0.90. The firm’s 50 day moving average price is $88.29 and its 200-day moving average price is $83.91. Zoom Communications has a 52-week low of $64.41 and a 52-week high of $97.58.

Zoom Communications (NASDAQ:ZM) last announced its earnings results 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 company had revenue of $1.23 billion during the quarter, compared to the consensus estimate of $1.21 billion. Zoom Communications had a net margin of 33.17% and a return on equity of 12.20%. Zoom Communications’s revenue was up 4.4% compared to the same quarter last year. During the same period last year, the firm earned $1.38 earnings per share. 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. As a group, equities research analysts forecast that Zoom Communications will post 2.93 EPS for the current fiscal year.

Insider Activity at Zoom Communications

In related news, insider Velchamy Sankarlingam sold 7,568 shares of Zoom Communications stock in a transaction dated Monday, January 12th. The stock was sold at an average price of $86.55, for a total transaction of $655,010.40. Following the completion of the sale, the insider owned 136,182 shares of the company’s stock, valued at $11,786,552.10. The trade was a 5.26% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, COO Aparna Bawa sold 12,137 shares of the company’s stock in a transaction that occurred on Friday, January 16th. The shares were sold at an average price of $81.37, for a total value of $987,587.69. Following the completion of the sale, the chief operating officer owned 1,978 shares in the company, valued at approximately $160,949.86. This represents a 85.99% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 183,089 shares of company stock worth $15,751,383 in the last quarter. 11.51% of the stock is owned by insiders.

Institutional Investors Weigh In On Zoom Communications

Hedge funds have recently added to or reduced their stakes in the business. Advocate Investing Services LLC acquired a new position in shares of Zoom Communications in the 4th quarter valued at about $26,000. Strive Financial Group LLC purchased a new position in Zoom Communications during the fourth quarter valued at approximately $27,000. Toth Financial Advisory Corp acquired a new position in Zoom Communications in the fourth quarter valued at approximately $28,000. Elevation Point Wealth Partners LLC purchased a new stake in Zoom Communications in the 2nd quarter worth approximately $27,000. Finally, FNY Investment Advisers LLC purchased a new stake in Zoom Communications in the 2nd quarter worth approximately $31,000. 66.54% of the stock is owned by hedge funds and other institutional investors.

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.