Vestcor Inc Buys 8,523 Shares of Zoom Communications, Inc. (NASDAQ:ZM)

Key Points

• Vestcor Inc increased its stake in Zoom Communications by 163.3% in Q1, owning 13,743 shares valued at over $1 million.
• Zoom reported a net profit margin of 22.31% with a quarterly revenue of $1.17 billion, which was a 2.9% increase year-over-year.
• Insider trading activity included significant sales, with Director Jonathan Chadwick selling 25,000 shares, resulting in an 80.97% decrease in his ownership.

Vestcor Inc increased its stake in Zoom Communications, Inc. (NASDAQ:ZM - Free Report) by 163.3% during the first quarter, according to its most recent filing with the Securities & Exchange Commission. The fund owned 13,743 shares of the company's stock after acquiring an additional 8,523 shares during the quarter. Vestcor Inc's holdings in Zoom Communications were worth $1,014,000 at the end of the most recent quarter.

A number of other hedge funds also recently modified their holdings of the business. Wayfinding Financial LLC bought a new position in shares of Zoom Communications during the 1st quarter valued at $25,000. MassMutual Private Wealth & Trust FSB increased its position in Zoom Communications by 177.0% during the first quarter. MassMutual Private Wealth & Trust FSB now owns 385 shares of the company's stock worth $28,000 after acquiring an additional 246 shares during the period. Raiffeisen Bank International AG bought a new position in Zoom Communications during the fourth quarter worth $30,000. Colonial Trust Co SC bought a new position in Zoom Communications during the fourth quarter valued at about $32,000. Finally, Cloud Capital Management LLC bought a new position in Zoom Communications during the first quarter valued at about $42,000. Hedge funds and other institutional investors own 66.54% of the company's stock.

Zoom Communications Stock Performance

Shares of NASDAQ ZM traded up $1.31 during mid-day trading on Wednesday, reaching $73.01. The company had a trading volume of 1,327,057 shares, compared to its average volume of 2,638,044. Zoom Communications, Inc. has a one year low of $55.06 and a one year high of $92.80. The firm has a market cap of $22.09 billion, a price-to-earnings ratio of 21.91, a PEG ratio of 11.80 and a beta of 0.68. The business's 50-day simple moving average is $76.86 and its 200 day simple moving average is $77.61.

Zoom Communications (NASDAQ:ZM - Get Free Report) last announced its quarterly earnings data on Wednesday, May 21st. The company reported $1.43 earnings per share for the quarter, topping the consensus estimate of $1.30 by $0.13. The business 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 for the quarter was up 2.9% on a year-over-year basis. During the same period in the prior year, the company earned $1.35 EPS. On average, sell-side analysts anticipate that Zoom Communications, Inc. will post 2.93 EPS for the current year.

Analysts Set New Price Targets

ZM has been the topic of a number of research analyst reports. Mizuho decreased their price target on Zoom Communications from $105.00 to $71.00 and set an "outperform" rating on the stock in a research report on Tuesday, April 15th. Bank of America upped their price target on Zoom Communications from $79.00 to $84.00 and gave the company a "neutral" rating in a research note on Thursday, May 22nd. Rosenblatt Securities raised their price target on Zoom Communications from $90.00 to $100.00 and gave the stock a "buy" rating in a research report on Thursday, May 22nd. Citigroup reduced their price target on Zoom Communications from $85.00 to $84.00 and set a "neutral" rating on the stock in a research report on Thursday, May 15th. Finally, Morgan Stanley lifted their target price on Zoom Communications from $79.00 to $85.00 and gave the stock an "equal weight" rating in a report on Thursday, May 22nd. One research analyst has rated the stock with a sell rating, fifteen have issued a hold rating, ten have assigned a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat, the company currently has a consensus rating of "Hold" and an average target price of $87.00.

Insider Buying and Selling at Zoom Communications

In related news, insider Velchamy Sankarlingam sold 7,661 shares of the business's stock in a transaction on Thursday, July 10th. The stock was sold at an average price of $77.50, for a total transaction of $593,727.50. Following the sale, the insider owned 129,377 shares in the company, valued at $10,026,717.50. The trade was a 5.59% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, COO Aparna Bawa sold 10,528 shares of the firm's stock in a transaction on Monday, July 14th. The stock was sold at an average price of $74.78, for a total value of $787,283.84. Following the transaction, the chief operating officer directly owned 1,978 shares of the company's stock, valued at approximately $147,914.84. This represents a 84.18% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 87,542 shares of company stock worth $6,609,623 over the last three months. 10.78% of the stock is owned by corporate insiders.

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.