Zacks Research Issues Positive Forecast for ZM Earnings

Zoom Video Communications, Inc. (NASDAQ:ZM - Free Report) - Stock analysts at Zacks Research upped their Q2 2026 earnings per share (EPS) estimates for Zoom Video Communications in a report released on Tuesday, June 10th. Zacks Research analyst R. Department now expects that the company will post earnings of $0.77 per share for the quarter, up from their prior forecast of $0.72. The consensus estimate for Zoom Video Communications' current full-year earnings is $2.93 per share. Zacks Research also issued estimates for Zoom Video Communications' Q3 2026 earnings at $0.78 EPS, Q4 2026 earnings at $0.80 EPS, FY2026 earnings at $3.26 EPS, Q1 2027 earnings at $0.79 EPS, Q2 2027 earnings at $0.78 EPS, Q3 2027 earnings at $0.80 EPS, Q4 2027 earnings at $0.82 EPS, FY2027 earnings at $3.19 EPS, Q1 2028 earnings at $0.83 EPS and FY2028 earnings at $3.35 EPS.

Zoom Video Communications (NASDAQ:ZM - Get Free Report) last issued its earnings results 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 company had revenue of $1.17 billion during the quarter, compared to the consensus estimate of $1.17 billion. Zoom Video Communications had a return on equity of 10.98% and a net margin of 20.34%. The company's revenue was up 2.9% compared to the same quarter last year. During the same quarter in the prior year, the business earned $1.35 earnings per share.

ZM has been the subject of a number of other reports. Benchmark reaffirmed a "buy" rating and set a $97.00 price objective on shares of Zoom Video Communications in a research note on Tuesday, May 20th. William Blair reissued an "outperform" rating on shares of Zoom Video Communications in a research report on Thursday, May 22nd. Scotiabank raised their price target on shares of Zoom Video Communications from $75.00 to $85.00 and gave the stock a "sector perform" rating in a report on Friday, May 16th. Wells Fargo & Company upped their price objective on shares of Zoom Video Communications from $75.00 to $80.00 and gave the company an "equal weight" rating in a research note on Thursday, May 22nd. Finally, Morgan Stanley increased their target price on shares of Zoom Video Communications from $79.00 to $85.00 and gave the stock an "equal weight" rating in a research report on Thursday, May 22nd. One equities research analyst has rated the stock with a sell rating, fifteen have given a hold rating, ten have given a buy rating and one has assigned a strong buy rating to the company's stock. According to data from MarketBeat.com, Zoom Video Communications has an average rating of "Hold" and an average price target of $87.00.

Zoom Video Communications Stock Down 1.0%

NASDAQ ZM traded down $0.78 on Friday, reaching $76.63. 2,266,932 shares of the stock traded hands, compared to its average volume of 2,945,492. Zoom Video Communications has a 12 month low of $55.06 and a 12 month high of $92.80. The firm's fifty day simple moving average is $77.44 and its 200 day simple moving average is $79.51. The company has a market cap of $23.18 billion, a price-to-earnings ratio of 25.54, a P/E/G ratio of 5.48 and a beta of 0.71.

Insider Activity

In related news, Director Santiago Subotovsky sold 2,475 shares of the business's stock in a transaction that occurred on Monday, March 24th. The stock was sold at an average price of $77.86, for a total value of $192,703.50. Following the completion of the sale, the director now directly owns 169,452 shares in the company, valued at approximately $13,193,532.72. The trade was a 1.44% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, CEO Eric S. Yuan sold 41,121 shares of the company's stock in a transaction dated Monday, April 14th. The stock was sold at an average price of $72.18, for a total transaction of $2,968,113.78. The disclosure for this sale can be found here. Insiders sold 94,054 shares of company stock worth $6,877,613 in the last quarter. Corporate insiders own 11.51% of the company's stock.

Hedge Funds Weigh In On Zoom Video Communications

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Choreo LLC bought a new stake in Zoom Video Communications during the 4th quarter worth approximately $308,000. Savant Capital LLC lifted its holdings in shares of Zoom Video Communications by 5.4% during the fourth quarter. Savant Capital LLC now owns 34,400 shares of the company's stock worth $2,807,000 after purchasing an additional 1,773 shares during the period. Certuity LLC acquired a new position in shares of Zoom Video Communications during the fourth quarter worth $315,000. Van ECK Associates Corp grew its stake in shares of Zoom Video Communications by 87.4% in the fourth quarter. Van ECK Associates Corp now owns 78,679 shares of the company's stock worth $6,421,000 after purchasing an additional 36,695 shares during the last quarter. Finally, Asset Management One Co. Ltd. increased its holdings in Zoom Video Communications by 8.7% in the fourth quarter. Asset Management One Co. Ltd. now owns 93,872 shares of the company's stock valued at $7,868,000 after purchasing an additional 7,518 shares during the period. Institutional investors own 66.54% of the company's stock.

Zoom Video Communications Company 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.