Zoom Communications (NASDAQ:ZM) Price Target Raised to $130.00 at Needham & Company LLC

Zoom Communications (NASDAQ:ZM) had its price target lifted by Needham & Company LLC from $100.00 to $130.00 in a research note published on Friday morning,Benzinga reports. The firm currently has a buy rating on the stock.

A number of other analysts have also issued reports on the company. Weiss Ratings upgraded Zoom Communications from a “buy (b-)” rating to a “buy (b)” rating in a report on Friday, May 1st. Jefferies Financial Group raised their price target on shares of Zoom Communications from $105.00 to $118.00 and gave the stock a “buy” rating in a report on Friday. Wolfe Research upgraded shares of Zoom Communications from a “peer perform” rating to an “outperform” rating and set a $115.00 price target for the company in a report on Thursday, February 5th. Sanford C. Bernstein decreased their price target on shares of Zoom Communications from $90.00 to $88.00 and set a “market perform” rating for the company in a report on Thursday, February 26th. Finally, Zacks Research cut shares of Zoom Communications from a “strong-buy” rating to a “hold” rating in a report on Friday, February 13th. Fourteen research analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the stock. According to MarketBeat, Zoom Communications presently has a consensus rating of “Moderate Buy” and an average price target of $107.95.

Zoom Communications Stock Performance

Shares of NASDAQ:ZM opened at $105.64 on Friday. Zoom Communications has a one year low of $69.15 and a one year high of $113.73. The stock has a fifty day moving average of $88.73 and a 200-day moving average of $86.72. The company has a market capitalization of $31.13 billion, a PE ratio of 15.51, a price-to-earnings-growth ratio of 5.54 and a beta of 1.00.

Zoom Communications (NASDAQ:ZM) last announced its quarterly earnings data on Thursday, May 21st. The company reported $1.55 EPS for the quarter, beating analysts’ consensus estimates of $1.42 by $0.13. The company had revenue of $1.24 billion during the quarter, compared to the consensus estimate of $1.22 billion. Zoom Communications had a return on equity of 12.06% and a net margin of 41.99%.The company’s quarterly revenue was up 5.5% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $1.43 EPS. Zoom Communications has set its FY 2027 guidance at 5.960-6.000 EPS and its Q2 2027 guidance at 1.450-1.470 EPS. As a group, research analysts forecast that Zoom Communications will post 3.94 EPS for the current fiscal year.

Insider Buying and Selling

In other news, insider Velchamy Sankarlingam sold 7,645 shares of the firm’s stock in a transaction dated Wednesday, April 15th. The stock was sold at an average price of $85.44, for a total value of $653,188.80. Following the sale, the insider directly owned 141,971 shares of the company’s stock, valued at approximately $12,130,002.24. This trade represents a 5.11% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Aparna Bawa sold 12,886 shares of the firm’s stock in a transaction dated Friday, April 17th. The shares were sold at an average price of $87.62, for a total value of $1,129,071.32. Following the completion of the sale, the chief operating officer directly owned 1,978 shares in the company, valued at approximately $173,312.36. This represents a 86.69% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 144,329 shares of company stock valued at $12,364,989 in the last quarter. Insiders own 11.51% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Kestra Advisory Services LLC lifted its stake in Zoom Communications by 2.0% during the fourth quarter. Kestra Advisory Services LLC now owns 5,928 shares of the company’s stock worth $512,000 after purchasing an additional 116 shares during the period. 3Chopt Investment Partners LLC lifted its stake in Zoom Communications by 1.6% during the first quarter. 3Chopt Investment Partners LLC now owns 7,370 shares of the company’s stock worth $592,000 after purchasing an additional 119 shares during the period. Rexford Capital Inc. lifted its stake in Zoom Communications by 45.7% during the first quarter. Rexford Capital Inc. now owns 389 shares of the company’s stock worth $31,000 after purchasing an additional 122 shares during the period. New York State Teachers Retirement System lifted its stake in Zoom Communications by 0.5% during the fourth quarter. New York State Teachers Retirement System now owns 24,263 shares of the company’s stock worth $2,094,000 after purchasing an additional 123 shares during the period. Finally, Root Financial Partners LLC lifted its stake in Zoom Communications by 33.5% during the fourth quarter. Root Financial Partners LLC now owns 542 shares of the company’s stock worth $47,000 after purchasing an additional 136 shares during the period. Institutional investors own 66.54% of the company’s stock.

Key Headlines Impacting Zoom Communications

Here are the key news stories impacting Zoom Communications this week:

• Positive Sentiment: Zoom beat fiscal Q1 expectations, posting EPS of $1.55 versus the $1.41 consensus and revenue of $1.24 billion versus $1.22 billion expected, with revenue up 5.5% year over year. Zoom Communications Reports Financial Results for the First Quarter of Fiscal Year 2027
• Positive Sentiment: The company lifted FY2027 guidance, now targeting EPS of $5.96-$6.00, above prior expectations, which signals management confidence in continued margin and profit expansion. Zoom Raises FY2027 Outlook After 184% Paid AI User Growth
• Positive Sentiment: AI momentum was a key driver, with paid AI users surging 184% and enterprise revenue rising 7.2%, suggesting Zoom is successfully expanding beyond basic video conferencing into higher-value enterprise tools. Zoom raises annual forecasts, banks on AI features to drive demand
• Positive Sentiment: Several Wall Street firms raised price targets after the results, including RBC, Rosenblatt, Needham, BTIG, Mizuho, Benchmark, and Piper Sandler, reflecting improved sentiment around Zoom’s growth outlook. These Analysts Increase Their Forecasts On Zoom After Upbeat Q1 Results
• Neutral Sentiment: Zoom also reported a modest uptick in churn and competitive pressure, which investors may continue to monitor even as the broader earnings picture remains strong. Zoom Communications Inc (ZM) Q1 2027 Earnings Call Highlights: Strong Revenue Growth and AI …

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.