Caerus Investment Advisors LLC Sells 11,191 Shares of Zoom Communications, Inc. $ZM

Key Points

• Caerus Investment Advisors cut its Zoom Communications position by 68.3%, selling 11,191 shares and retaining 5,194 shares valued at approximately $418,000.
• Institutional investors own 66.54% of Zoom, while insiders have sold 45,874 shares worth about $4.79 million over the past 90 days; some sales were conducted under Rule 10b5-1 plans.
• Zoom exceeded quarterly expectations with $1.55 in EPS and $1.24 billion in revenue, up 5.5% year over year. Analysts maintain a “Moderate Buy” consensus with an average price target of $109.33.

Caerus Investment Advisors LLC lowered its position in shares of Zoom Communications, Inc. (NASDAQ:ZM - Free Report) by 68.3% in the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 5,194 shares of the company's stock after selling 11,191 shares during the quarter. Caerus Investment Advisors LLC's holdings in Zoom Communications were worth $418,000 at the end of the most recent quarter.

Other hedge funds have also recently modified their holdings of the company. Leigh Baldwin & CO. LLC grew its position in shares of Zoom Communications by 16.5% in the 1st quarter. Leigh Baldwin & CO. LLC now owns 5,732 shares of the company's stock worth $461,000 after buying an additional 810 shares during the period. Bank of America Corp DE lifted its position in Zoom Communications by 50.5% during the 1st quarter. Bank of America Corp DE now owns 1,767,728 shares of the company's stock valued at $142,108,000 after acquiring an additional 592,899 shares during the period. Edgestream Partners L.P. purchased a new position in Zoom Communications during the 1st quarter valued at about $2,689,000. Bull Harbor Capital LLC purchased a new position in Zoom Communications during the 1st quarter valued at about $939,000. Finally, Atreides Management LP bought a new stake in Zoom Communications during the first quarter worth about $105,761,000. Institutional investors own 66.54% of the company's stock.

Insider Activity

In related news, CFO Michelle Chang sold 8,489 shares of the business's stock in a transaction that occurred on Friday, July 10th. The shares were sold at an average price of $90.80, for a total value of $770,801.20. Following the completion of the transaction, the chief financial officer directly owned 35,452 shares in the company, valued at $3,219,041.60. The trade was a 19.32% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at 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 company's stock in a transaction that occurred on Tuesday, June 2nd. The shares were sold at an average price of $111.61, for a total value of $1,350,481.00. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 45,874 shares of company stock worth $4,789,950 over the last 90 days. 8.83% of the stock is currently owned by insiders.

Zoom Communications Stock Performance

Shares of ZM stock opened at $96.07 on Friday. Zoom Communications, Inc. has a one year low of $69.15 and a one year high of $114.74. The company's 50-day moving average is $92.61 and its 200 day moving average is $89.22. The company has a market capitalization of $28.17 billion, a price-to-earnings ratio of 14.11, a price-to-earnings-growth ratio of 5.15 and a beta of 1.01.

Zoom Communications (NASDAQ:ZM - Get Free Report) last released its quarterly earnings data on Thursday, May 21st. The company reported $1.55 earnings per share for the quarter, beating analysts' consensus estimates of $1.42 by $0.13. The business 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%. Zoom Communications's revenue was up 5.5% compared to the same quarter last year. During the same period last year, the business 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 predict that Zoom Communications, Inc. will post 4.21 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of equities research analysts have weighed in on ZM shares. Morgan Stanley upped their price objective on shares of Zoom Communications from $92.00 to $105.00 and gave the stock an "equal weight" rating in a report on Friday, May 22nd. Mizuho lifted their target price on shares of Zoom Communications from $100.00 to $120.00 and gave the company an "outperform" rating in a report on Friday, May 22nd. BTIG Research boosted their price target on Zoom Communications from $100.00 to $125.00 and gave the stock a "buy" rating in a research report on Friday, May 22nd. Robert W. Baird upped their price target on Zoom Communications from $95.00 to $105.00 and gave the stock an "outperform" rating in a research note on Tuesday, May 19th. Finally, Benchmark raised their price objective on Zoom Communications from $115.00 to $121.00 and gave the company a "buy" rating in a research report on Thursday, May 21st. Fifteen equities research analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the company's stock. Based on data from MarketBeat, Zoom Communications has a consensus rating of "Moderate Buy" and an average price target of $109.33.

Zoom Communications Company Profile

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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