Hussman Strategic Advisors Inc. Decreases Stock Position in Zoom Communications, Inc. $ZM

Key Points

• Hussman Strategic Advisors cut its Zoom stake by 58.3% in Q4, selling 14,700 shares and ending the period with 10,500 shares (about $906,000), amid mixed institutional flows that leave institutions owning roughly 66.54% of the stock.
• Zoom reported Q4 EPS of $1.44 (missed by $0.04) on $1.25B revenue (beat estimates), provided FY27 EPS guidance of 5.77–5.81, and trades near $103 with a market cap of ~$30.5B; the consensus analyst rating is "Hold" with a $95.32 target.
• Potential upside drivers include a re‑valuation of Zoom’s Anthropic stake (analysts suggest $2–$4B of latent value) and a ~$7.8B cash position plus buyback optionality, but heavy insider selling (89 sales, zero purchases recently) could dampen sentiment.

Hussman Strategic Advisors Inc. lessened its stake in shares of Zoom Communications, Inc. (NASDAQ:ZM - Free Report) by 58.3% during the 4th quarter, according to its most recent 13F filing with the SEC. The firm owned 10,500 shares of the company's stock after selling 14,700 shares during the period. Hussman Strategic Advisors Inc.'s holdings in Zoom Communications were worth $906,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors also recently bought and sold shares of ZM. NewEdge Advisors LLC raised its holdings in Zoom Communications by 16.8% during the 1st quarter. NewEdge Advisors LLC now owns 8,009 shares of the company's stock valued at $591,000 after buying an additional 1,153 shares during the period. Intech Investment Management LLC raised its holdings in Zoom Communications by 59.1% during the 1st quarter. Intech Investment Management LLC now owns 16,785 shares of the company's stock valued at $1,238,000 after buying an additional 6,235 shares during the period. Geneos Wealth Management Inc. increased its stake in Zoom Communications by 82.0% in the first quarter. Geneos Wealth Management Inc. now owns 881 shares of the company's stock worth $65,000 after purchasing an additional 397 shares during the period. Sivia Capital Partners LLC purchased a new stake in Zoom Communications in the second quarter worth $217,000. Finally, Invesco Ltd. increased its stake in Zoom Communications by 7.0% in the second quarter. Invesco Ltd. now owns 730,207 shares of the company's stock worth $56,942,000 after purchasing an additional 47,749 shares during the period. Hedge funds and other institutional investors own 66.54% of the company's stock.

Zoom Communications Price Performance

ZM opened at $103.44 on Monday. The business's 50-day moving average is $82.06 and its two-hundred day moving average is $84.78. Zoom Communications, Inc. has a 1 year low of $69.15 and a 1 year high of $104.14. The firm has a market capitalization of $30.48 billion, a PE ratio of 16.68, a price-to-earnings-growth ratio of 5.92 and a beta of 1.00.

Zoom Communications (NASDAQ:ZM - Get Free Report) last posted its earnings results on Wednesday, February 25th. The company reported $1.44 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.48 by ($0.04). Zoom Communications had a net margin of 39.03% and a return on equity of 11.88%. The company had revenue of $1.25 billion during the quarter, compared to analysts' expectations of $1.23 billion. During the same quarter last year, the firm earned $1.41 EPS. Zoom Communications's revenue for the quarter was up 5.3% on a year-over-year basis. Zoom Communications has set its FY 2027 guidance at 5.770-5.810 EPS and its Q1 2027 guidance at 1.400-1.420 EPS. As a group, sell-side analysts expect that Zoom Communications, Inc. will post 3.94 EPS for the current year.

Analyst Upgrades and Downgrades

ZM has been the topic of a number of recent analyst reports. Rosenblatt Securities reiterated a "buy" rating and issued a $115.00 target price on shares of Zoom Communications in a research note on Thursday, February 26th. Citizens Jmp reiterated a "market perform" rating on shares of Zoom Communications in a research note on Tuesday, February 24th. Sanford C. Bernstein reduced their target price on Zoom Communications from $90.00 to $88.00 and set a "market perform" rating on the stock in a research note on Thursday, February 26th. Piper Sandler increased their target price on Zoom Communications from $85.00 to $91.00 and gave the stock a "neutral" rating in a research note on Monday, January 5th. Finally, Wall Street Zen lowered Zoom Communications from a "buy" rating to a "hold" rating in a research note on Saturday, March 7th. Fourteen research analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat, the company currently has an average rating of "Hold" and a consensus price target of $95.32.

Zoom Communications News Summary

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

• Positive Sentiment: Renewed focus on Zoom’s Anthropic stake — analysts (Baird cited in market coverage) argue Zoom’s 2023 ~$51M investment could be worth roughly $2–$4B today under certain dilution assumptions, which would represent meaningful latent asset value relative to Zoom’s market cap; Anthropic’s growth updates and infrastructure partnerships boost that re‑valuation narrative. Zoom shares climb as investors revisit potential value of its Anthropic stake
• Positive Sentiment: Large buyback/cash optionality — Zoom reported a roughly $7.8B cash and marketable securities position (as of Jan 31, 2026) and has executed sizable repurchases in FY26 with remaining authorization, which can amplify upside when sentiment turns positive. Zoom shares climb as investors revisit potential value of its Anthropic stake
• Positive Sentiment: Unusually heavy call buying — traders purchased ~23,600 call options (up ~41% vs. typical volume), signaling speculative bullish positioning by options traders that can accelerate intraday moves.
• Neutral Sentiment: Upcoming Q1 FY27 results scheduled for May 21 after the close — the print and management commentary, plus any updated guidance, could either reinforce the current move or reverse it depending on execution and commentary on AI/enterprise demand. Zoom to Release Financial Results for the First Quarter of Fiscal Year 2027
• Neutral Sentiment: Marketing push around LLM differentiation — WSJ reports Zoom has a 'SWAT team' to position itself versus ChatGPT/Gemini; this is operational/branding news that supports long‑term product positioning but is not an immediate earnings catalyst. Zoom Has a ‘SWAT Team' to Stand Out on ChatGPT and Gemini
• Neutral Sentiment: Coverage highlighting Anthropic early investors — broader media pieces (e.g., The Motley Fool) listing early Anthropic backers add context and may sustain investor interest in any Anthropic-related re‑rating. Want in on AI Superstar Anthropic Before Its IPO? These 4 Companies Are Some of Its Earliest Investors.
• Negative Sentiment: Heavy insider selling — data show 89 insider sales and zero purchases in the past six months (including large sales by CEO Eric Yuan), which can dampen investor confidence and serve as a counterweight to valuation re‑rating. Zoom shares climb as investors revisit potential value of its Anthropic stake
• Negative Sentiment: Analyst price targets and mixed institutional flows — median recent target (~$97.5) sits below current levels for some firms, and institutions showed both large buys and sizable reductions in Q4 2025, suggesting divergent views that could limit sustained upside without fresh fundamental beats. Zoom shares climb as investors revisit potential value of its Anthropic stake

Insider Buying and Selling

In other Zoom Communications news, Director Santiago Subotovsky sold 2,643 shares of Zoom Communications stock in a transaction dated Thursday, April 16th. The stock was sold at an average price of $87.32, for a total value of $230,786.76. Following the transaction, the director owned 150,799 shares in the company, valued at $13,167,768.68. The trade was a 1.72% decrease in their ownership of the stock. The transaction was disclosed in a document filed 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. Also, insider Velchamy Sankarlingam sold 7,645 shares of Zoom Communications stock in a transaction dated Wednesday, April 15th. The shares were sold at an average price of $85.44, for a total value of $653,188.80. Following the completion of the transaction, the insider owned 141,971 shares in the company, valued at $12,130,002.24. This trade represents a 5.11% decrease in their position. 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 126,787 shares of company stock valued at $10,464,909 over the last three months. Corporate insiders own 10.78% of the company's stock.

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.

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.