Zoom Communications, Inc. $ZM Shares Acquired by Merit Financial Group LLC

Key Points

• Merit Financial Group raised its stake in Zoom by 59.1%, acquiring 18,258 shares to hold 49,173 shares valued at about $4.24 million, and institutional investors now own roughly 66.54% of the company.
• Zoom’s AI rebrand, its cash/strategic stakes (e.g., Anthropic exposure) and the hire of a former Microsoft executive as chief product officer have renewed investor interest and supported recent share‑price momentum.
• Insider activity is notable: insiders sold 120,970 shares (~$10.0M) last quarter, including CEO sales totaling ~85k shares and the CFO’s sale of 8,489 shares, while analysts remain mixed with an average rating of "Hold" and a $95.32 price target.

Merit Financial Group LLC grew its position in Zoom Communications, Inc. (NASDAQ:ZM - Free Report) by 59.1% in the fourth quarter, according to the company in its most recent disclosure with the SEC. The firm owned 49,173 shares of the company's stock after acquiring an additional 18,258 shares during the period. Merit Financial Group LLC's holdings in Zoom Communications were worth $4,243,000 at the end of the most recent quarter.

Other large investors have also modified their holdings of the company. Mitsubishi UFJ Asset Management Co. Ltd. raised its position in shares of Zoom Communications by 10.5% in the third quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 238,753 shares of the company's stock worth $19,697,000 after acquiring an additional 22,704 shares during the period. Strive Asset Management LLC acquired a new position in shares of Zoom Communications in the third quarter worth about $1,238,000. LSV Asset Management raised its position in shares of Zoom Communications by 5.0% in the third quarter. LSV Asset Management now owns 1,069,440 shares of the company's stock worth $88,229,000 after acquiring an additional 50,579 shares during the period. Krilogy Financial LLC acquired a new position in shares of Zoom Communications during the 3rd quarter worth about $1,963,000. Finally, Boston Common Asset Management LLC acquired a new position in shares of Zoom Communications during the 4th quarter worth about $2,163,000. Institutional investors and hedge funds own 66.54% of the company's stock.

Zoom Communications News Roundup

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

• Positive Sentiment: AI rebrand and renewed valuation interest — Zoom’s repositioning as an “AI‑first” work platform has pushed investors to revisit its growth profile and valuation, supporting recent share‑price momentum. Assessing Zoom Communications (ZM) Valuation After Its AI Rebrand And Recent Share Price Momentum
• Positive Sentiment: Senior product hire signals product roadmap push — Markets reacted positively after Zoom named a former Microsoft executive as chief product officer, a hire that investors view as strengthening AI/product execution. Zoom rises after appointing former Microsoft exec as chief product officer
• Positive Sentiment: Strategic assets and institutional interest — Coverage points to Zoom’s cash position and strategic stakes (e.g., Anthropic exposure) and several institutions increasing holdings, which can support a higher multiple if execution continues. Zoom’s Anthropic Stake and Huge Cash Pile Could Change the Story
• Neutral Sentiment: Analyst/valuation debate continues — Multiple recent writeups ask whether the post‑pandemic price reset is complete or if fundamentals still argue for further repricing; these analyses create mixed near‑term sentiment rather than a clear directional push. Is It Time To Reassess Zoom Communications (ZM) After Its Post Pandemic Price Reset?
• Neutral Sentiment: Retail/institutional attention rising — Zacks and other trackers note heavy investor searches and elevated interest, which can amplify moves but is not a directional fundamental on its own. Investors Heavily Search Zoom Communications, Inc. (ZM): Here is What You Need to Know
• Negative Sentiment: Large CEO stock sales — CEO Eric Yuan sold sizable blocks of shares in mid‑April (multiple filings totaling ~85k shares across trades), which can weigh on sentiment despite disclosures that many trades were executed under pre‑arranged 10b5‑1 plans. Zoom Communications NASDAQ: ZM CEO Eric Yuan Sells 15,273 Shares
• Negative Sentiment: Recent short‑term volatility/weak sessions — Coverage noted a pullback in the prior session, highlighting that momentum remains fragile and the stock can swing on sentiment and headline flow. Zoom Communications (ZM) Stock Declines While Market Improves: Some Information for Investors

Analyst Upgrades and Downgrades

Several research analysts recently weighed in on ZM shares. Argus upgraded shares of Zoom Communications to a "hold" rating in a research report on Monday, March 9th. Citigroup upgraded shares of Zoom Communications from a "neutral" rating to a "buy" rating and upped their price target for the stock from $94.00 to $106.00 in a research report on Monday, January 12th. Wall Street Zen downgraded shares of Zoom Communications from a "buy" rating to a "hold" rating in a research report on Saturday, March 7th. Rosenblatt Securities restated a "buy" rating and set a $115.00 price target on shares of Zoom Communications in a research report on Thursday, February 26th. Finally, Citizens Jmp restated a "market perform" rating on shares of Zoom Communications in a research report on Tuesday, February 24th. Fourteen analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of "Hold" and an average price target of $95.32.

Zoom Communications Price Performance

ZM opened at $88.02 on Monday. The company's 50 day simple moving average is $82.07 and its two-hundred day simple moving average is $84.04. Zoom Communications, Inc. has a 1-year low of $69.15 and a 1-year high of $97.58. The firm has a market capitalization of $25.94 billion, a price-to-earnings ratio of 14.20, a price-to-earnings-growth ratio of 5.04 and a beta of 0.88.

Zoom Communications (NASDAQ:ZM - Get Free Report) last released its earnings results on Wednesday, February 25th. The company reported $1.44 earnings per share for the quarter, missing analysts' consensus estimates of $1.48 by ($0.04). Zoom Communications had a return on equity of 11.88% and a net margin of 39.03%.The business had revenue of $1.25 billion during the quarter, compared to analysts' expectations of $1.23 billion. During the same period last year, the business earned $1.41 earnings per share. The company's revenue for the quarter was up 5.3% compared to the same quarter last year. 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 analysts anticipate that Zoom Communications, Inc. will post 2.93 earnings per share for the current fiscal year.

Insider Activity

In other news, CFO Michelle Chang sold 8,489 shares of the firm's stock in a transaction that occurred on Friday, April 10th. The shares were sold at an average price of $81.32, for a total transaction of $690,325.48. Following the completion of the sale, the chief financial officer owned 30,467 shares in the company, valued at $2,477,576.44. This trade represents a 21.79% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. 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. Also, Director Santiago Subotovsky sold 2,475 shares of the firm's stock in a transaction that occurred on Wednesday, March 4th. The stock was sold at an average price of $77.42, for a total transaction of $191,614.50. Following the sale, the director owned 153,442 shares of the company's stock, valued at $11,879,479.64. This represents a 1.59% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 120,970 shares of company stock worth $10,021,951 over the last quarter. 10.78% of the stock is currently owned by corporate insiders.

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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