Dimensional Fund Advisors LP Boosts Stock Holdings in Zoom Communications, Inc. $ZM

Key Points

• Dimensional Fund Advisors LP increased its Zoom stake by 4.2% in the first quarter, buying 94,043 more shares and bringing its total holding to 2.35 million shares worth about $189.1 million.
• Wall Street sentiment remains positive, with analysts issuing several raised price targets and the stock carrying a consensus rating of “Moderate Buy” with an average target price of $109.33.
• Zoom delivered a solid quarterly beat, reporting EPS of $1.55 versus estimates of $1.42 and revenue of $1.24 billion, while also guiding FY 2027 EPS to 5.960–6.000.

Dimensional Fund Advisors LP grew its holdings in Zoom Communications, Inc. (NASDAQ:ZM - Free Report) by 4.2% in the 1st quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor owned 2,352,126 shares of the company's stock after purchasing an additional 94,043 shares during the quarter. Dimensional Fund Advisors LP owned approximately 0.80% of Zoom Communications worth $189,051,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. Kestra Advisory Services LLC boosted its position in Zoom Communications by 2.0% during the fourth quarter. Kestra Advisory Services LLC now owns 5,928 shares of the company's stock valued at $512,000 after purchasing an additional 116 shares in the last quarter. 3Chopt Investment Partners LLC lifted its holdings in shares of Zoom Communications by 1.6% during the 1st quarter. 3Chopt Investment Partners LLC now owns 7,370 shares of the company's stock valued at $592,000 after purchasing an additional 119 shares during the last quarter. Rexford Capital Inc. boosted its position 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 purchasing an additional 122 shares in the last quarter. New York State Teachers Retirement System grew its stake in Zoom Communications by 0.5% during the 4th quarter. New York State Teachers Retirement System now owns 24,263 shares of the company's stock worth $2,094,000 after buying an additional 123 shares during the last quarter. Finally, Root Financial Partners LLC grew its stake in Zoom Communications by 33.5% during the 4th quarter. Root Financial Partners LLC now owns 542 shares of the company's stock worth $47,000 after buying an additional 136 shares during the last quarter. 66.54% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

ZM has been the topic of several recent analyst reports. Citigroup upped their price objective on shares of Zoom Communications from $122.00 to $126.00 and gave the company a "buy" rating in a report on Tuesday, May 26th. HSBC lifted their target price on shares of Zoom Communications from $107.00 to $133.00 and gave the stock a "buy" rating in a research note on Tuesday, June 2nd. Cantor Fitzgerald lifted their target price on Zoom Communications from $87.00 to $104.00 and gave the stock a "neutral" rating in a report on Friday, May 22nd. BTIG Research increased their price target on shares of Zoom Communications from $100.00 to $125.00 and gave the stock a "buy" rating in a report on Friday, May 22nd. Finally, Morgan Stanley raised their price target on shares of Zoom Communications from $92.00 to $105.00 and gave the stock an "equal weight" rating in a research report on Friday, May 22nd. Fifteen investment analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $109.33.

Insider Transactions at Zoom Communications

In other news, Director Santiago Subotovsky sold 5,274 shares of the stock in a transaction dated Monday, June 1st. The stock was sold at an average price of $109.78, for a total value of $578,979.72. Following the transaction, the director owned 137,608 shares in the company, valued at approximately $15,106,606.24. This represents a 3.69% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Eric S. Yuan sold 12,100 shares of the firm's stock in a transaction dated Monday, May 4th. The stock was sold at an average price of $106.60, for a total value of $1,289,860.00. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 48,517 shares of company stock valued at $5,061,783. 8.83% of the stock is currently owned by corporate insiders.

Zoom Communications Stock Up 4.6%

Shares of NASDAQ ZM opened at $87.99 on Friday. Zoom Communications, Inc. has a 52-week low of $69.15 and a 52-week high of $114.74. The firm has a market cap of $25.80 billion, a price-to-earnings ratio of 12.92, a price-to-earnings-growth ratio of 4.51 and a beta of 1.01. The company's 50-day simple moving average is $93.30 and its 200-day simple moving average is $88.99.

Zoom Communications (NASDAQ:ZM - Get Free Report) last released 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. Zoom Communications had a return on equity of 11.87% and a net margin of 41.99%.The firm had revenue of $1.24 billion for the quarter, compared to analysts' expectations of $1.22 billion. During the same period in the prior year, the firm posted $1.43 earnings per share. The firm's quarterly revenue was up 5.5% on a year-over-year basis. 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. Equities research analysts anticipate that Zoom Communications, Inc. will post 4.21 EPS for the current fiscal year.

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.

Want to see what other hedge funds are holding ZM? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Zoom Communications, Inc. (NASDAQ:ZM - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.