Jupiter Asset Management Ltd. Increases Stake in Zoom Communications, Inc. (NASDAQ:ZM)

Key Points

• Jupiter Asset Management Ltd. significantly increased its stake in Zoom Communications, acquiring an additional 170,358 shares to raise its total holdings by 3,660.5%, bringing its ownership to approximately $12.9 million.
• Several institutional investors, including Principal Financial Group Inc. and Yousif Capital Management LLC, have also expanded their positions in Zoom, reflecting a strong interest in the stock among financial institutions.
• Wall Street analysts currently have a consensus rating of "Hold" on Zoom Communications, with the stock's target price averaging around $87.00, despite recent insider sales by CEO Eric S. Yuan.

Jupiter Asset Management Ltd. raised its holdings in shares of Zoom Communications, Inc. (NASDAQ:ZM - Free Report) by 3,660.5% in the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 175,012 shares of the company's stock after buying an additional 170,358 shares during the period. Jupiter Asset Management Ltd. owned about 0.06% of Zoom Communications worth $12,911,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors have also added to or reduced their stakes in the company. Principal Financial Group Inc. increased its holdings in Zoom Communications by 18.5% in the 1st quarter. Principal Financial Group Inc. now owns 175,918 shares of the company's stock worth $12,977,000 after acquiring an additional 27,430 shares in the last quarter. Cambridge Investment Research Advisors Inc. increased its holdings in Zoom Communications by 15.5% in the 1st quarter. Cambridge Investment Research Advisors Inc. now owns 11,928 shares of the company's stock worth $880,000 after acquiring an additional 1,601 shares in the last quarter. Yousif Capital Management LLC increased its holdings in Zoom Communications by 31.9% in the 1st quarter. Yousif Capital Management LLC now owns 4,453 shares of the company's stock worth $328,000 after acquiring an additional 1,076 shares in the last quarter. Spire Wealth Management increased its holdings in Zoom Communications by 990.6% in the 1st quarter. Spire Wealth Management now owns 1,396 shares of the company's stock worth $103,000 after acquiring an additional 1,268 shares in the last quarter. Finally, New York State Teachers Retirement System increased its holdings in Zoom Communications by 0.7% in the 1st quarter. New York State Teachers Retirement System now owns 24,298 shares of the company's stock worth $1,792,000 after acquiring an additional 171 shares in the last quarter. 66.54% of the stock is owned by hedge funds and other institutional investors.

Insider Buying and Selling

In other news, CEO Eric S. Yuan sold 33,691 shares of Zoom Communications stock in a transaction on Monday, July 14th. The stock was sold at an average price of $74.79, for a total transaction of $2,519,749.89. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Velchamy Sankarlingam sold 7,661 shares of Zoom Communications stock in a transaction on Thursday, July 10th. The stock was sold at an average price of $77.50, for a total value of $593,727.50. Following the sale, the insider owned 129,377 shares of the company's stock, valued at approximately $10,026,717.50. This trade represents a 5.59% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 90,017 shares of company stock valued at $6,804,703 over the last 90 days. 11.51% of the stock is currently owned by insiders.

Wall Street Analysts Forecast Growth

Several equities research analysts recently issued reports on the stock. KeyCorp assumed coverage on shares of Zoom Communications in a report on Friday, June 6th. They issued an "underweight" rating and a $73.00 target price for the company. Rosenblatt Securities increased their price objective on shares of Zoom Communications from $90.00 to $100.00 and gave the company a "buy" rating in a report on Thursday, May 22nd. Wall Street Zen lowered shares of Zoom Communications from a "strong-buy" rating to a "buy" rating in a report on Saturday, July 26th. William Blair reaffirmed an "outperform" rating on shares of Zoom Communications in a report on Thursday, May 22nd. Finally, JMP Securities reaffirmed a "market perform" rating on shares of Zoom Communications in a report on Thursday, May 22nd. One investment analyst has rated the stock with a sell rating, fifteen have assigned a hold rating, ten have given a buy rating and one has given a strong buy rating to the company's stock. According to MarketBeat.com, Zoom Communications has a consensus rating of "Hold" and a consensus target price of $87.00.

Zoom Communications Stock Down 4.2%

Shares of ZM opened at $70.97 on Friday. The company has a market cap of $21.47 billion, a PE ratio of 21.31, a P/E/G ratio of 11.63 and a beta of 0.68. The business has a fifty day moving average of $77.15 and a 200 day moving average of $77.71. Zoom Communications, Inc. has a 52-week low of $55.06 and a 52-week high of $92.80.

Zoom Communications (NASDAQ:ZM - Get Free Report) last issued its quarterly earnings results on Wednesday, May 21st. The company reported $1.43 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.30 by $0.13. The company had revenue of $1.17 billion during the quarter, compared to the consensus estimate of $1.17 billion. Zoom Communications had a return on equity of 11.08% and a net margin of 22.31%. Zoom Communications's revenue was up 2.9% on a year-over-year basis. During the same period last year, the company earned $1.35 earnings per share. As a group, research analysts anticipate that Zoom Communications, Inc. will post 2.93 earnings per share for the current fiscal year.

Zoom Communications Profile

Zoom Video Communications, Inc provides unified communications platform in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. The company offers Zoom Meetings that offers HD video, voice, chat, and content sharing through mobile devices, desktops, laptops, telephones, and conference room systems; Zoom Phone, an enterprise cloud phone system; and Zoom Chat enables users to share messages, images, audio files, and content in desktop, laptop, tablet, and mobile devices.

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