Ameritas Advisory Services LLC Buys New Holdings in Zoom Communications, Inc. $ZM

Key Points

• Ameritas Advisory Services initiated a Zoom Communications position of 12,302 shares, valued at approximately $1.06 million. Institutional investors collectively own 66.54% of Zoom’s stock.
• Zoom reported quarterly EPS of $1.55, beating estimates of $1.48, while revenue rose 4.9% year over year to $1.28 billion. The company maintained FY 2027 EPS guidance of $6.08–$6.12.
• Zoom shares opened at $95.46, below the analyst consensus target of $112.55; analysts maintain a “Moderate Buy” consensus. Several insiders sold shares under pre-arranged trading plans, including sales by the CFO and another insider.

Ameritas Advisory Services LLC purchased a new position in Zoom Communications, Inc. (NASDAQ:ZM - Free Report) in the 2nd quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor purchased 12,302 shares of the company's stock, valued at approximately $1,062,000.

A number of other institutional investors have also added to or reduced their stakes in ZM. AQR Capital Management LLC grew its position in shares of Zoom Communications by 43.9% during the fourth quarter. AQR Capital Management LLC now owns 12,195,243 shares of the company's stock valued at $1,052,328,000 after purchasing an additional 3,718,186 shares in the last quarter. State Street Corp boosted its stake in Zoom Communications by 5.0% during the fourth quarter. State Street Corp now owns 7,582,924 shares of the company's stock valued at $654,331,000 after buying an additional 363,776 shares during the last quarter. Norges Bank bought a new position in Zoom Communications during the fourth quarter valued at approximately $509,788,000. Geode Capital Management LLC grew its holdings in Zoom Communications by 3.1% during the 4th quarter. Geode Capital Management LLC now owns 5,139,583 shares of the company's stock valued at $445,254,000 after buying an additional 152,862 shares in the last quarter. Finally, T. Rowe Price Investment Management Inc. grew its holdings in Zoom Communications by 7.9% during the 4th quarter. T. Rowe Price Investment Management Inc. now owns 4,637,903 shares of the company's stock valued at $400,205,000 after buying an additional 341,104 shares in the last quarter. 66.54% of the stock is owned by hedge funds and other institutional investors.

Zoom Communications Stock Down 0.7%

Shares of NASDAQ:ZM opened at $95.46 on Friday. The firm has a 50 day moving average of $96.67 and a 200 day moving average of $91.77. The company has a market capitalization of $27.85 billion, a price-to-earnings ratio of 8.84, a price-to-earnings-growth ratio of 4.45 and a beta of 1.04. Zoom Communications, Inc. has a 52 week low of $70.70 and a 52 week high of $114.74.

Zoom Communications (NASDAQ:ZM - Get Free Report) last announced its earnings results on Tuesday, August 25th. The company reported $1.55 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.48 by $0.07. Zoom Communications had a return on equity of 10.86% and a net margin of 65.19%.The business had revenue of $1.28 billion for the quarter, compared to analysts' expectations of $1.27 billion. During the same quarter last year, the firm earned $1.53 EPS. The business's revenue for the quarter was up 4.9% on a year-over-year basis. Zoom Communications has set its FY 2027 guidance at 6.080-6.120 EPS and its Q3 2027 guidance at 1.460-1.480 EPS. On average, sell-side analysts expect that Zoom Communications, Inc. will post 4.26 EPS for the current year.

Insider Activity

In other news, insider Velchamy Sankarlingam sold 7,644 shares of Zoom Communications stock in a transaction that occurred on Wednesday, July 15th. The shares were sold at an average price of $91.98, for a total value of $703,095.12. Following the transaction, the insider owned 148,403 shares of the company's stock, valued at $13,650,107.94. The trade was a 4.90% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Michelle Chang sold 8,489 shares of the business's stock in a transaction that occurred on Friday, July 10th. The stock was sold at an average price of $90.80, for a total transaction of $770,801.20. Following the transaction, the chief financial officer owned 35,452 shares of the company's stock, valued at approximately $3,219,041.60. This trade represents a 19.32% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last three months, insiders have sold 53,518 shares of company stock valued at $5,133,728. Company insiders own 8.83% of the company's stock.

Wall Street Analyst Weigh In

A number of brokerages have commented on ZM. Royal Bank Of Canada restated an "outperform" rating and issued a $130.00 target price on shares of Zoom Communications in a research note on Wednesday, August 26th. Jefferies Financial Group lowered their price target on Zoom Communications from $118.00 to $116.00 and set a "buy" rating for the company in a report on Wednesday, August 26th. Citigroup increased their price objective on Zoom Communications from $122.00 to $126.00 and gave the stock a "buy" rating in a research note on Tuesday, May 26th. Benchmark raised their price objective on Zoom Communications from $115.00 to $121.00 and gave the stock a "buy" rating in a report on Thursday, May 21st. Finally, Robert W. Baird upped their target price on Zoom Communications from $95.00 to $105.00 and gave the stock an "outperform" rating in a report on Tuesday, May 19th. Sixteen equities research analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the company's stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average target price of $112.55.

Zoom Communications Company Profile

Zoom Communications, Inc NASDAQ: ZM is a communications technology company that provides cloud-based tools for video meetings, collaboration and business communications. The company was founded in 2011 by Eric Yuan and is headquartered in San Jose, California. It was previously known as Zoom Video Communications before adopting the Zoom Communications name.

Its product portfolio includes Zoom Meetings for video conferencing, Zoom Phone for cloud-based business telephony, Zoom Team Chat for workplace messaging, and Zoom Rooms for conference-room collaboration.

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