Zoom Communications, Inc. (NASDAQ:ZM) Given Consensus Recommendation of "Moderate Buy" by Brokerages

Key Points

• Zoom Communications, Inc. has received a consensus recommendation of "Moderate Buy" from 28 analysts, with an average one-year price target of $91.30.
• Recent price target adjustments include Stifel Nicolaus raising their target from $80 to $90 and Needham & Company maintaining a "buy" rating with a $100 target.
• Insiders have sold a significant number of shares recently, with CEO Eric S. Yuan selling 33,691 shares, indicating potential shifts in insider sentiment.

Shares of Zoom Communications, Inc. (NASDAQ:ZM - Get Free Report) have been assigned an average rating of "Moderate Buy" from the twenty-eight analysts that are currently covering the stock, MarketBeat.com reports. One analyst has rated the stock with a sell rating, fourteen have issued a hold rating, eleven have given a buy rating and two have issued a strong buy rating on the company. The average 1 year price target among brokerages that have updated their coverage on the stock in the last year is $91.3043.

Several equities research analysts have weighed in on ZM shares. Stifel Nicolaus upped their price target on Zoom Communications from $80.00 to $90.00 and gave the stock a "hold" rating in a report on Thursday, September 18th. Robert W. Baird cut their price target on Zoom Communications from $100.00 to $95.00 and set an "outperform" rating on the stock in a report on Friday, August 22nd. Needham & Company LLC restated a "buy" rating and set a $100.00 price target on shares of Zoom Communications in a report on Thursday, September 18th. Mizuho increased their price objective on Zoom Communications from $95.00 to $100.00 and gave the company an "outperform" rating in a report on Tuesday, August 26th. Finally, Dbs Bank upgraded Zoom Communications to a "moderate buy" rating in a report on Tuesday, September 16th.

Zoom Communications Price Performance

Shares of NASDAQ ZM opened at $83.53 on Tuesday. The stock's 50-day moving average is $77.71 and its two-hundred day moving average is $77.04. Zoom Communications has a 1-year low of $64.41 and a 1-year high of $92.80. The company has a market cap of $25.27 billion, a price-to-earnings ratio of 22.04, a price-to-earnings-growth ratio of 11.73 and a beta of 0.57.

Insiders Place Their Bets

In other news, Director Santiago Subotovsky sold 2,475 shares of the stock in a transaction dated Wednesday, July 2nd. The stock was sold at an average price of $77.17, for a total value of $190,995.75. Following the transaction, the director owned 157,235 shares in the company, valued at approximately $12,133,824.95. This represents a 1.55% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CEO Eric S. Yuan sold 33,691 shares of the stock in a transaction dated Monday, July 14th. The shares were sold at an average price of $74.79, for a total value of $2,519,749.89. The disclosure for this sale can be found here. In the last quarter, insiders have sold 90,400 shares of company stock worth $6,871,114. 10.78% of the stock is currently owned by company insiders.

Institutional Trading of Zoom Communications

A number of large investors have recently made changes to their positions in the company. Vanguard Group Inc. boosted its position in shares of Zoom Communications by 0.6% in the 2nd quarter. Vanguard Group Inc. now owns 24,951,437 shares of the company's stock valued at $1,945,713,000 after purchasing an additional 154,783 shares during the period. State Street Corp boosted its position in shares of Zoom Communications by 6.0% in the 2nd quarter. State Street Corp now owns 7,189,501 shares of the company's stock valued at $560,637,000 after purchasing an additional 410,051 shares during the period. Norges Bank acquired a new stake in shares of Zoom Communications in the 2nd quarter valued at about $539,998,000. T. Rowe Price Investment Management Inc. boosted its position in shares of Zoom Communications by 0.6% in the 1st quarter. T. Rowe Price Investment Management Inc. now owns 6,421,733 shares of the company's stock valued at $473,732,000 after purchasing an additional 36,210 shares during the period. Finally, Geode Capital Management LLC boosted its position in shares of Zoom Communications by 0.5% in the 2nd quarter. Geode Capital Management LLC now owns 4,795,307 shares of the company's stock valued at $373,504,000 after purchasing an additional 23,910 shares during the period. 66.54% of the stock is owned by institutional investors and hedge funds.

Zoom 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.

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