Summit Global Investments Sells 14,058 Shares of Zoom Communications, Inc. $ZM

Key Points

• Summit Global Investments cut its Zoom stake by 78.4% in Q1, selling 14,058 shares and leaving it with 3,878 shares worth about $312,000.
• Zoom’s latest quarterly results beat expectations, with EPS of $1.55 versus $1.42 expected and revenue of $1.24 billion, up 5.5% year over year.
• Wall Street remains broadly constructive on the stock, with a Moderate Buy consensus and an average price target of $109.33, while insiders have also been selling shares recently.

Summit Global Investments trimmed its position in Zoom Communications, Inc. (NASDAQ:ZM - Free Report) by 78.4% in the first quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 3,878 shares of the company's stock after selling 14,058 shares during the quarter. Summit Global Investments' holdings in Zoom Communications were worth $312,000 as of its most recent SEC filing.

Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Allianz Asset Management GmbH raised its stake in shares of Zoom Communications by 15.6% in the 4th quarter. Allianz Asset Management GmbH now owns 2,112,815 shares of the company's stock valued at $182,315,000 after buying an additional 285,626 shares in the last quarter. Hsbc Holdings PLC boosted its position in shares of Zoom Communications by 43.6% during the 4th quarter. Hsbc Holdings PLC now owns 422,470 shares of the company's stock valued at $36,460,000 after acquiring an additional 128,174 shares in the last quarter. Sherry Group Inc. acquired a new stake in shares of Zoom Communications during the 4th quarter valued at about $894,000. Boston Common Asset Management LLC acquired a new stake in shares of Zoom Communications during the 4th quarter valued at about $2,163,000. Finally, United Super Pty Ltd in its capacity as Trustee for the Construction & Building Unions Superannuation Fund bought a new stake in Zoom Communications in the fourth quarter valued at about $13,312,000. 66.54% of the stock is owned by institutional investors.

Wall Street Analysts Forecast Growth

ZM has been the subject of several recent research reports. Rosenblatt Securities reissued a "buy" rating and issued a $130.00 price target on shares of Zoom Communications in a research report on Thursday. HSBC upped their price objective on Zoom Communications from $107.00 to $133.00 and gave the company a "buy" rating in a research note on Tuesday, June 2nd. Citizens Jmp reissued a "market perform" rating on shares of Zoom Communications in a report on Wednesday, May 20th. Morgan Stanley raised their target price on Zoom Communications from $92.00 to $105.00 and gave the stock an "equal weight" rating in a research report on Friday, May 22nd. Finally, Piper Sandler boosted their price target on Zoom Communications from $91.00 to $107.00 and gave the company a "neutral" rating in a research note on Friday, May 22nd. Fifteen equities research analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the company's stock. According to MarketBeat.com, Zoom Communications presently has a consensus rating of "Moderate Buy" and a consensus target price of $109.33.

Zoom Communications Trading Down 2.0%

Shares of ZM stock opened at $84.11 on Friday. Zoom Communications, Inc. has a 1 year low of $69.15 and a 1 year high of $114.74. The firm's 50 day moving average is $93.55 and its 200-day moving average is $88.99. The firm has a market capitalization of $24.66 billion, a price-to-earnings ratio of 12.35, a PEG ratio of 4.60 and a beta of 1.01.

Zoom Communications (NASDAQ:ZM - Get Free Report) last issued its quarterly earnings results 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. Zoom Communications had a net margin of 41.99% and a return on equity of 11.87%. The business had revenue of $1.24 billion during the quarter, compared to analyst estimates of $1.22 billion. During the same quarter last year, the business posted $1.43 earnings per share. Zoom Communications's revenue for the quarter was up 5.5% compared to the same quarter last year. 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. On average, equities research analysts forecast that Zoom Communications, Inc. will post 4.21 earnings per share for the current fiscal year.

Insider Activity

In other news, CEO Eric S. Yuan sold 12,100 shares of the business's stock in a transaction on Tuesday, June 2nd. The stock was sold at an average price of $111.61, for a total transaction of $1,350,481.00. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Michelle Chang sold 8,489 shares of the business's stock in a transaction on Friday, July 10th. The stock was sold at an average price of $90.80, for a total value of $770,801.20. Following the sale, the chief financial officer owned 35,452 shares of the company's stock, valued at approximately $3,219,041.60. The trade was a 19.32% decrease in their position. The SEC filing for this sale provides additional information. 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. In the last ninety days, insiders sold 48,517 shares of company stock valued at $5,061,783. Company insiders own 8.83% of the company's stock.

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.

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