Bank of America Corp DE Purchases 592,899 Shares of Zoom Communications, Inc. $ZM

Key Points

• Bank of America increased its Zoom stake by 50.5% in the first quarter, adding 592,899 shares to hold 1.77 million shares valued at approximately $142.1 million. Institutional investors collectively own 66.54% of Zoom.
• Zoom reported quarterly adjusted EPS of $1.55, beating estimates of $1.42, while revenue reached $1.24 billion, up 5.5% year over year and ahead of forecasts.
• Analysts maintain a “Moderate Buy” consensus with an average price target of $109.33, although insiders sold 28,500 shares worth nearly $2.94 million during the last quarter.

Bank of America Corp DE raised its holdings in Zoom Communications, Inc. (NASDAQ:ZM - Free Report) by 50.5% in the 1st quarter, according to the company in its most recent filing with the SEC. The firm owned 1,767,728 shares of the company's stock after acquiring an additional 592,899 shares during the quarter. Bank of America Corp DE owned approximately 0.60% of Zoom Communications worth $142,108,000 as of its most recent SEC filing.

Other institutional investors have also added to or reduced their stakes in the company. Advocate Investing Services LLC acquired a new stake in Zoom Communications during the fourth quarter worth approximately $26,000. Strive Financial Group LLC bought a new stake in Zoom Communications during the 4th quarter valued at $27,000. Rexford Capital Inc. raised its holdings in shares of Zoom Communications by 45.7% in the 1st quarter. Rexford Capital Inc. now owns 389 shares of the company's stock worth $31,000 after acquiring an additional 122 shares during the last quarter. Sound Income Strategies LLC lifted its holdings in shares of Zoom Communications by 94.8% in the fourth quarter. Sound Income Strategies LLC now owns 411 shares of the company's stock valued at $33,000 after purchasing an additional 200 shares in the last quarter. Finally, Towarzystwo Funduszy Inwestycyjnych PZU SA lifted its stake in Zoom Communications by 83.3% during the 4th quarter. Towarzystwo Funduszy Inwestycyjnych PZU SA now owns 440 shares of the company's stock valued at $38,000 after acquiring an additional 200 shares in the last quarter. 66.54% of the stock is currently owned by institutional investors.

Insider Buying and Selling

In other Zoom Communications news, CFO Michelle Chang sold 8,489 shares of the company'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 in the company, valued at approximately $3,219,041.60. This represents a 19.32% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. 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. Also, CEO Eric S. Yuan sold 12,100 shares of the stock in a transaction on Tuesday, June 2nd. The stock was sold at an average price of $111.61, for a total value of $1,350,481.00. 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. Insiders sold 28,500 shares of company stock valued at $2,937,987 over the last quarter. 8.83% of the stock is owned by company insiders.

Zoom Communications Price Performance

ZM opened at $100.64 on Thursday. Zoom Communications, Inc. has a 1 year low of $69.15 and a 1 year high of $114.74. The stock's 50 day simple moving average is $92.52 and its 200 day simple moving average is $89.62. The firm has a market cap of $29.51 billion, a price-to-earnings ratio of 14.78, a PEG ratio of 5.48 and a beta of 1.00.

Zoom Communications (NASDAQ:ZM - Get Free Report) last posted its quarterly earnings results 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 analyst estimates of $1.22 billion. Zoom Communications had a net margin of 41.99% and a return on equity of 11.87%. The firm's revenue was up 5.5% compared to the same quarter last year. During the same period in the prior year, the business posted $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, sell-side analysts anticipate that Zoom Communications, Inc. will post 4.21 EPS for the current year.

Analyst Ratings Changes

ZM has been the topic of several recent analyst reports. BTIG Research boosted their target price on Zoom Communications from $100.00 to $125.00 and gave the stock a "buy" rating in a research note on Friday, May 22nd. Citizens Jmp reiterated a "market perform" rating on shares of Zoom Communications in a research note on Wednesday, May 20th. Needham & Company LLC reiterated a "buy" rating and set a $130.00 price objective on shares of Zoom Communications in a research note on Thursday, July 2nd. Citigroup increased their target price on shares of Zoom Communications from $122.00 to $126.00 and gave the stock a "buy" rating in a research note on Tuesday, May 26th. Finally, Wells Fargo & Company lifted their price target on Zoom Communications from $90.00 to $105.00 and gave the company an "equal weight" rating in a research report on Friday, May 22nd. Fifteen equities research analysts have rated the stock with a Buy rating and twelve have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, Zoom Communications presently has a consensus rating of "Moderate Buy" and an average target price of $109.33.

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.

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