Oxbow Advisors LLC Buys New Stake in Zoom Communications, Inc. $ZM

Key Points

• Oxbow Advisors LLC disclosed a new fourth-quarter stake in Zoom Communications, buying 38,343 shares worth about $3.31 million.
• Institutional interest in Zoom remains high, with hedge funds and other institutions owning 66.54% of the stock, even as several insiders recently sold shares under pre-arranged trading plans.
• Analyst sentiment is mixed: Zoom’s consensus rating is Hold with an average price target of $95.32, while the stock recently traded near its 52-week high of $109.50 after the company reported revenue growth but slightly missed EPS estimates.

Oxbow Advisors LLC purchased a new position in shares of Zoom Communications, Inc. (NASDAQ:ZM - Free Report) during the 4th quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm purchased 38,343 shares of the company's stock, valued at approximately $3,309,000.

A number of other institutional investors have also modified their holdings of the stock. Toth Financial Advisory Corp purchased a new stake in shares of Zoom Communications in the fourth quarter worth about $28,000. Root Financial Partners LLC purchased a new position in Zoom Communications during the third quarter valued at approximately $33,000. Sound Income Strategies LLC lifted its holdings in 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 acquiring an additional 200 shares during the period. Quent Capital LLC acquired a new position in Zoom Communications in the third quarter valued at approximately $34,000. Finally, Activest Wealth Management boosted its position in Zoom Communications by 4,318.2% in the 4th quarter. Activest Wealth Management now owns 486 shares of the company's stock worth $42,000 after purchasing an additional 475 shares in the last quarter. Hedge funds and other institutional investors own 66.54% of the company's stock.

Insiders Place Their Bets

In related news, insider Velchamy Sankarlingam sold 7,645 shares of the company's stock in a transaction dated Wednesday, April 15th. The shares were sold at an average price of $85.44, for a total transaction 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 represents a 5.11% decrease in their position. 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, COO Aparna Bawa sold 12,886 shares of the firm's stock in a transaction dated Friday, April 17th. The shares were sold at an average price of $87.62, for a total transaction of $1,129,071.32. Following the completion of the transaction, the chief operating officer directly owned 1,978 shares in the company, valued at $173,312.36. This represents a 86.69% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 144,329 shares of company stock valued at $12,364,989. 11.51% of the stock is owned by company insiders.

Analysts Set New Price Targets

A number of brokerages have recently commented on ZM. Rosenblatt Securities reaffirmed a "buy" rating and set a $115.00 price objective on shares of Zoom Communications in a research note on Thursday, February 26th. Sanford C. Bernstein lowered their price target on shares of Zoom Communications from $90.00 to $88.00 and set a "market perform" rating on the stock in a report on Thursday, February 26th. Argus upgraded shares of Zoom Communications to a "hold" rating in a research report on Monday, March 9th. Wall Street Zen cut shares of Zoom Communications from a "buy" rating to a "hold" rating in a report on Saturday, March 7th. Finally, Zacks Research downgraded shares of Zoom Communications from a "strong-buy" rating to a "hold" rating in a research report on Friday, February 13th. Fourteen investment analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, Zoom Communications has a consensus rating of "Hold" and an average target price of $95.32.

Zoom Communications Price Performance

Zoom Communications stock opened at $109.21 on Friday. The stock has a market capitalization of $32.18 billion, a PE ratio of 17.61, a price-to-earnings-growth ratio of 6.25 and a beta of 1.00. The business has a 50 day simple moving average of $83.24 and a 200-day simple moving average of $85.37. Zoom Communications, Inc. has a 12 month low of $69.15 and a 12 month high of $109.50.

Zoom Communications (NASDAQ:ZM - Get Free Report) last announced its earnings results on Wednesday, February 25th. The company reported $1.44 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $1.48 by ($0.04). The business had revenue of $1.25 billion for the quarter, compared to analysts' expectations of $1.23 billion. Zoom Communications had a net margin of 39.03% and a return on equity of 11.88%. The company's quarterly revenue was up 5.3% on a year-over-year basis. During the same quarter last year, the business earned $1.41 EPS. 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. On average, equities research analysts anticipate that Zoom Communications, Inc. will post 3.94 EPS for the current fiscal year.

Zoom Communications 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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