Insider Selling: Zoom Communications (NASDAQ:ZM) Director Sells 3,812 Shares of Company Stock

Key Points

• Zoom director Santiago Subotovsky sold 3,812 shares for approximately $383,335 under a pre-arranged Rule 10b5-1 trading plan, reducing his position by 3.13% to 117,974 shares.
• Zoom shares fell 0.4% to $95.77, while the company reported quarterly EPS of $1.55 and revenue of $1.28 billion, exceeding analyst estimates and representing 4.9% year-over-year revenue growth.
• Analyst sentiment remains generally positive, with a “Moderate Buy” consensus and average price target of $114.48, although some firms maintain Hold or Neutral ratings amid questions about valuation, AI monetization, and growth execution.

Zoom Communications, Inc. (NASDAQ:ZM - Get Free Report) Director Santiago Subotovsky sold 3,812 shares of the business's stock in a transaction on Wednesday, October 21st. The stock was sold at an average price of $100.56, for a total value of $383,334.72. Following the completion of the transaction, the director owned 117,974 shares of the company's stock, valued at $11,863,465.44. This represents a 3.13% decrease in their position. The transaction was disclosed in a legal 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.

Santiago Subotovsky also recently made the following trade(s):

• On Thursday, October 22nd, Santiago Subotovsky sold 20 shares of Zoom Communications stock. The shares were sold at an average price of $100.43, for a total value of $2,008.60.
• On Monday, October 5th, Santiago Subotovsky sold 2,637 shares of Zoom Communications stock. The shares were sold at an average price of $93.74, for a total value of $247,192.38.
• On Tuesday, September 8th, Santiago Subotovsky sold 2,637 shares of Zoom Communications stock. The stock was sold at an average price of $96.63, for a total value of $254,813.31.
• On Tuesday, August 4th, Santiago Subotovsky sold 7,911 shares of Zoom Communications stock. The stock was sold at an average price of $101.33, for a total value of $801,621.63.

Zoom Communications Trading Down 0.4%

NASDAQ:ZM traded down $0.43 during mid-day trading on Friday, reaching $95.77. The company's stock had a trading volume of 3,039,273 shares, compared to its average volume of 3,902,601. The stock has a market cap of $27.94 billion, a P/E ratio of 8.87, a PEG ratio of 4.59 and a beta of 1.03. The firm's fifty day moving average price is $96.50 and its two-hundred day moving average price is $95.10. Zoom Communications, Inc. has a 12-month low of $70.70 and a 12-month high of $114.74.

Zoom Communications (NASDAQ:ZM - Get Free Report) last announced its quarterly earnings results on Tuesday, August 25th. The company reported $1.55 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.48 by $0.07. Zoom Communications had a net margin of 65.19% and a return on equity of 10.86%. The firm had revenue of $1.28 billion for the quarter, compared to the consensus estimate of $1.27 billion. During the same quarter last year, the firm posted $1.53 EPS. The business's quarterly revenue was up 4.9% compared to the same quarter last year. Zoom Communications has set its FY 2027 guidance at 6.080-6.120 EPS and its Q3 2027 guidance at 1.460-1.480 EPS. Analysts predict that Zoom Communications, Inc. will post 4.27 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

A number of equities research analysts have commented on ZM shares. Jefferies Financial Group cut their target price on shares of Zoom Communications from $118.00 to $116.00 and set a "buy" rating for the company in a research report on Wednesday, August 26th. Sanford C. Bernstein reissued a "market perform" rating and set a $108.00 price target on shares of Zoom Communications in a report on Wednesday, August 26th. Bank of America assumed coverage on Zoom Communications in a research note on Wednesday, August 19th. They issued a "buy" rating and a $130.00 price target on the stock. Weiss Ratings upgraded Zoom Communications from a "buy (b-)" rating to a "buy (b)" rating in a research note on Thursday, October 8th. Finally, KeyCorp reaffirmed a "sector weight" rating on shares of Zoom Communications in a report on Wednesday, August 26th. Sixteen research analysts have rated the stock with a Buy rating and eleven have given a Hold rating to the company's stock. Based on data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average target price of $114.48.

Hedge Funds Weigh In On Zoom Communications

A number of institutional investors and hedge funds have recently made changes to their positions in the business. Atreides Management LP bought a new stake in Zoom Communications during the first quarter valued at approximately $105,761,000. Rubric Capital Management LP purchased a new stake in Zoom Communications during the first quarter valued at approximately $80,471,000. Bank of America Corp DE increased its holdings in Zoom Communications by 50.5% during the first quarter. Bank of America Corp DE now owns 1,767,728 shares of the company's stock valued at $142,108,000 after buying an additional 592,899 shares during the last quarter. BlueCrest Capital Management Ltd bought a new position in Zoom Communications in the second quarter worth approximately $43,925,000. Finally, KBC Group NV raised its position in Zoom Communications by 69.1% in the first quarter. KBC Group NV now owns 1,193,027 shares of the company's stock worth $95,907,000 after acquiring an additional 487,384 shares during the period. Hedge funds and other institutional investors own 66.54% of the company's stock.

Zoom Communications News Summary

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

• Positive Sentiment: Analyst support remains broad: Oppenheimer upgraded Zoom, while BTIG Research and RBC initiated or reiterated bullish ratings. Rosenblatt maintained a Buy rating, and Needham reaffirmed its Buy rating with a $130 price target, implying substantial upside from recent levels. Oppenheimer upgrades Zoom BTIG gives Zoom a Buy rating Rosenblatt maintains Buy rating RBC gives Zoom an Outperform rating
• Positive Sentiment: Zoomtopia highlighted a deeper AI push: Zoom introduced a unified context layer and additional AI tools designed to convert meeting discussions into completed work across Zoom Workplace, customer experience, developer tools, and events. The announcements support management’s effort to reaccelerate growth and improve the platform’s strategic value. Zoom AI strategy announcement
• Neutral Sentiment: Valuation arguments are mixed: Some analysis estimates ZM is undervalued following the AI announcements, while comparisons with other software stocks question whether it is currently the better value opportunity. Wells Fargo maintained a Hold rating, and Cantor Fitzgerald reiterated Neutral, limiting the overall bullish signal. Wells Fargo maintains Hold rating
• Negative Sentiment: Near-term sentiment has been pressured: Zoom’s stock recently declined more sharply than the broader market. Commentary also cautions that the shares may trade at a discount after the AI push if investors remain uncertain about monetization, execution, or the pace of revenue growth. Zoom stock valuation after AI push

Zoom Communications Company Profile

Zoom Communications, Inc NASDAQ: ZM is a communications technology company that provides cloud-based collaboration and customer engagement solutions. Founded in 2011 and headquartered in San Jose, California, the company is best known for Zoom Meetings, its videoconferencing platform for online meetings, webinars and virtual events.

The company's product portfolio also includes Zoom Phone, a cloud-based business phone service; Zoom Team Chat; Zoom Rooms for hybrid meeting spaces; Zoom Whiteboard; and Zoom Contact Center.

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