Zoom Communications (NASDAQ:ZM) Stock: Insider Santiago Subotovsky Sells 717 Shares

Key Points

• Insider selling: Director Santiago Subotovsky sold 717 Zoom shares for approximately $69,284 under a pre-arranged Rule 10b5-1 plan, reducing his holdings by 0.60% to 118,350 shares. He has also made several additional sales in recent months.
• Operating performance: Zoom reported quarterly revenue of $1.28 billion, up 4.9% year over year, and adjusted earnings of $1.55 per share, beating analysts’ estimate of $1.48.
• Mixed market outlook: Zoom traded near $95.77, while analysts maintained an overall “Moderate Buy” rating with an average price target of $114.48. Optimism around its expanded AI strategy and bullish analyst views is tempered by concerns about monetization, execution, and slowing growth.

Zoom Communications, Inc. (NASDAQ:ZM - Get Free Report) Director Santiago Subotovsky sold 717 shares of the business's stock in a transaction on Thursday, October 15th. The stock was sold at an average price of $96.63, for a total value of $69,283.71. Following the sale, the director owned 118,350 shares in the company, valued at $11,436,160.50. This represents a 0.60% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. 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 Wednesday, October 21st, Santiago Subotovsky sold 3,812 shares of Zoom Communications stock. The shares were sold at an average price of $100.56, for a total value of $383,334.72.
• 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 shares were sold at an average price of $101.33, for a total value of $801,621.63.

Zoom Communications Price Performance

NASDAQ ZM traded down $0.43 during trading hours on Friday, reaching $95.77. The company's stock had a trading volume of 3,039,273 shares, compared to its average volume of 2,694,071. The firm has a fifty day simple moving average of $96.29 and a 200-day simple moving average of $95.10. The stock has a market cap of $27.94 billion, a P/E ratio of 26.50, a P/E/G ratio of 4.27 and a beta of 1.03. Zoom Communications, Inc. has a 52 week low of $70.70 and a 52 week high of $114.74.

Zoom Communications (NASDAQ:ZM - Get Free Report) last posted its earnings results on Tuesday, August 25th. The company reported $1.55 earnings per share for the quarter, topping 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 analyst estimates of $1.27 billion. During the same period in the previous year, the firm posted $1.53 EPS. The company's revenue for the quarter 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. On average, research analysts expect that Zoom Communications, Inc. will post 4.27 earnings per share for the current year.

Key Stories Impacting Zoom Communications

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

Wall Street Analyst Weigh In

A number of analysts recently weighed in on the company. Sanford C. Bernstein restated a "market perform" rating and issued a $108.00 price objective on shares of Zoom Communications in a report on Wednesday, August 26th. Needham & Company LLC reaffirmed a "buy" rating and set a $130.00 target price on shares of Zoom Communications in a report on Thursday. KeyCorp reiterated a "sector weight" rating on shares of Zoom Communications in a research report on Wednesday, August 26th. BTIG Research reissued a "buy" rating and issued a $125.00 price target on shares of Zoom Communications in a research note on Wednesday. Finally, Citizens Jmp reissued a "market perform" rating on shares of Zoom Communications in a research note on Wednesday, August 26th. Sixteen investment analysts have rated the stock with a Buy rating and eleven have assigned a Hold rating to the company. According to MarketBeat.com, Zoom Communications currently has an average rating of "Moderate Buy" and an average target price of $114.48.

Institutional Investors Weigh In On Zoom Communications

A number of institutional investors have recently modified their holdings of the company. Sumitomo Mitsui DS Asset Management Company Ltd increased its position in shares of Zoom Communications by 0.4% during the third quarter. Sumitomo Mitsui DS Asset Management Company Ltd now owns 26,215 shares of the company's stock worth $2,380,000 after buying an additional 107 shares during the period. Fortitude Family Office LLC lifted its holdings in Zoom Communications by 27.2% in the third quarter. Fortitude Family Office LLC now owns 533 shares of the company's stock valued at $48,000 after buying an additional 114 shares during the period. 3Chopt Investment Partners LLC lifted its holdings in Zoom Communications by 1.6% in the first quarter. 3Chopt Investment Partners LLC now owns 7,370 shares of the company's stock valued at $592,000 after buying an additional 119 shares during the period. Rexford Capital Inc. lifted its holdings in Zoom Communications by 45.7% in the first quarter. Rexford Capital Inc. now owns 389 shares of the company's stock valued at $31,000 after buying an additional 122 shares during the period. Finally, Thurston Springer Miller Herd & Titak Inc. boosted its position in Zoom Communications by 133.3% during the second quarter. Thurston Springer Miller Herd & Titak Inc. now owns 350 shares of the company's stock valued at $30,000 after acquiring an additional 200 shares during the last quarter. 66.54% of the stock is owned by institutional investors.

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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