Zoom Communications (NASDAQ:ZM) Downgraded by Wall Street Zen to "Buy"

Zoom Communications (NASDAQ:ZM - Get Free Report) was downgraded by analysts at Wall Street Zen from a "strong-buy" rating to a "buy" rating in a research report issued on Saturday.

A number of other equities research analysts have also recently issued reports on the stock. JPMorgan Chase & Co. increased their target price on shares of Zoom Communications from $80.00 to $85.00 and gave the stock a "neutral" rating in a research report on Thursday, May 22nd. William Blair reaffirmed an "outperform" rating on shares of Zoom Communications in a research note on Thursday, May 22nd. Mizuho cut their target price on shares of Zoom Communications from $105.00 to $71.00 and set an "outperform" rating for the company in a research note on Tuesday, April 15th. Morgan Stanley increased their price target on Zoom Communications from $79.00 to $85.00 and gave the stock an "equal weight" rating in a research report on Thursday, May 22nd. Finally, Cantor Fitzgerald reaffirmed a "neutral" rating and set a $87.00 price target on shares of Zoom Communications in a report on Thursday, May 22nd. One analyst has rated the stock with a sell rating, fifteen have assigned a hold rating, ten have assigned a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat.com, the company presently has an average rating of "Hold" and an average target price of $87.00.

Zoom Communications Stock Performance

Shares of ZM opened at $74.82 on Friday. The company has a 50-day simple moving average of $77.97 and a 200-day simple moving average of $77.92. Zoom Communications has a 52 week low of $55.06 and a 52 week high of $92.80. The firm has a market capitalization of $22.64 billion, a P/E ratio of 22.47, a P/E/G ratio of 12.39 and a beta of 0.68.

Zoom Communications (NASDAQ:ZM - Get Free Report) last issued its earnings results on Wednesday, May 21st. The company reported $1.43 EPS for the quarter, beating analysts' consensus estimates of $1.30 by $0.13. Zoom Communications had a return on equity of 11.08% and a net margin of 22.31%. The business had revenue of $1.17 billion during the quarter, compared to analyst estimates of $1.17 billion. During the same period in the prior year, the company posted $1.35 earnings per share. Zoom Communications's revenue was up 2.9% on a year-over-year basis. As a group, equities analysts forecast that Zoom Communications will post 2.93 earnings per share for the current year.

Insiders Place Their Bets

In other news, 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 transaction of $2,519,749.89. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, Director Herbert Raymond Mcmaster sold 500 shares of Zoom Communications stock in a transaction dated Monday, July 14th. The shares were sold at an average price of $75.00, for a total value of $37,500.00. Following the completion of the sale, the director directly owned 10,901 shares in the company, valued at approximately $817,575. This represents a 4.39% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 90,017 shares of company stock valued at $6,804,703 over the last 90 days. 11.51% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the company. Wedmont Private Capital lifted its holdings in Zoom Communications by 4.1% during the 2nd quarter. Wedmont Private Capital now owns 3,499 shares of the company's stock valued at $271,000 after purchasing an additional 137 shares during the last quarter. Smartleaf Asset Management LLC raised its position in shares of Zoom Communications by 6.7% in the first quarter. Smartleaf Asset Management LLC now owns 2,293 shares of the company's stock valued at $172,000 after purchasing an additional 143 shares during the period. Wynn Capital LLC lifted its stake in shares of Zoom Communications by 1.6% during the 1st quarter. Wynn Capital LLC now owns 10,194 shares of the company's stock worth $752,000 after buying an additional 160 shares during the last quarter. New York State Teachers Retirement System boosted its holdings in shares of Zoom Communications by 0.7% during the 1st quarter. New York State Teachers Retirement System now owns 24,298 shares of the company's stock worth $1,792,000 after buying an additional 171 shares during the period. Finally, MassMutual Private Wealth & Trust FSB grew its stake in Zoom Communications by 44.4% in the 2nd quarter. MassMutual Private Wealth & Trust FSB now owns 556 shares of the company's stock valued at $43,000 after buying an additional 171 shares during the last quarter. 66.54% of the stock is currently owned by institutional investors and hedge funds.

About Zoom Communications

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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