Zoom Communications' (ZM) "Market Perform" Rating Reiterated at Citizens Jmp

Key Points

• Citizens JMP reiterated its “market perform” rating on Zoom Communications, while the broader analyst community remains split with an overall Hold consensus and an average price target of $97.05.
• Zoom shares rose 0.6% to $97.95 on the day, valuing the company at about $28.86 billion; the stock has traded between $69.15 and $111.56 over the past 52 weeks.
• In its latest earnings report, Zoom beat revenue expectations with $1.25 billion in sales, but missed EPS estimates by $0.04. The company also saw notable insider selling and continued strong institutional ownership.

Zoom Communications (NASDAQ:ZM - Get Free Report)'s stock had its "market perform" rating reissued by research analysts at Citizens Jmp in a research report issued on Wednesday,Benzinga reports.

ZM has been the subject of a number of other research reports. Wall Street Zen cut Zoom Communications from a "buy" rating to a "hold" rating in a research report on Saturday, March 7th. Zacks Research downgraded Zoom Communications from a "strong-buy" rating to a "hold" rating in a research report on Friday, February 13th. Robert W. Baird raised their target price on shares of Zoom Communications from $95.00 to $105.00 and gave the company an "outperform" rating in a research note on Tuesday. Wolfe Research upgraded Zoom Communications from a "peer perform" rating to an "outperform" rating and set a $115.00 price target for the company in a report on Thursday, February 5th. Finally, Rosenblatt Securities reissued a "buy" rating and set a $115.00 price objective on shares of Zoom Communications in a research note on Thursday, February 26th. Fourteen research analysts have rated the stock with a Buy rating, twelve have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the stock has an average rating of "Hold" and a consensus price target of $97.05.

Zoom Communications Stock Up 0.6%

Shares of NASDAQ ZM traded up $0.56 during midday trading on Wednesday, hitting $97.95. The stock had a trading volume of 591,589 shares, compared to its average volume of 4,302,833. The company has a market cap of $28.86 billion, a P/E ratio of 15.76, a PEG ratio of 5.66 and a beta of 1.00. Zoom Communications has a 52 week low of $69.15 and a 52 week high of $111.56. The business's 50 day moving average is $87.29 and its 200-day moving average is $86.41.

Zoom Communications (NASDAQ:ZM - Get Free Report) last posted its earnings results on Wednesday, February 25th. The company reported $1.44 EPS for the quarter, missing analysts' consensus estimates of $1.48 by ($0.04). Zoom Communications had a return on equity of 11.88% and a net margin of 39.03%.The business had revenue of $1.25 billion during the quarter, compared to the consensus estimate of $1.23 billion. During the same period in the previous year, the business posted $1.41 EPS. The firm's revenue for the quarter was up 5.3% on a year-over-year basis. Zoom Communications has set its FY 2027 guidance at 5.770-5.810 EPS and its Q1 2027 guidance at 1.400-1.420 EPS. As a group, analysts expect that Zoom Communications will post 3.94 EPS for the current fiscal year.

Insider Buying and Selling at Zoom Communications

In other Zoom Communications news, CEO Eric S. Yuan sold 12,100 shares of the company's stock in a transaction on Monday, May 4th. The stock was sold at an average price of $106.60, for a total value of $1,289,860.00. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Aparna Bawa sold 12,886 shares of the company's stock in a transaction dated Friday, April 17th. The stock was sold at an average price of $87.62, for a total transaction of $1,129,071.32. Following the completion of the sale, the chief operating officer directly owned 1,978 shares of the company's stock, valued at approximately $173,312.36. This trade represents a 86.69% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 144,329 shares of company stock worth $12,364,989 over the last quarter. Insiders own 10.78% of the company's stock.

Institutional Trading of Zoom Communications

A number of institutional investors have recently modified their holdings of the company. Norges Bank purchased a new position in Zoom Communications in the fourth quarter worth $509,788,000. AQR Capital Management LLC grew its stake in shares of Zoom Communications by 43.9% during the fourth quarter. AQR Capital Management LLC now owns 12,195,243 shares of the company's stock worth $1,052,328,000 after acquiring an additional 3,718,186 shares during the last quarter. Atreides Management LP purchased a new position in shares of Zoom Communications in the first quarter worth $105,761,000. Two Sigma Investments LP purchased a new stake in Zoom Communications during the 3rd quarter valued at about $86,709,000. Finally, Vanguard Group Inc. lifted its holdings in shares of Zoom Communications by 4.0% during the fourth quarter. Vanguard Group Inc. now owns 26,967,224 shares of the company's stock worth $2,327,002,000 after purchasing an additional 1,029,623 shares during the period. 66.54% of the stock is currently owned by institutional investors.

Zoom Communications Company Profile

Zoom Video Communications, Inc (commonly referred to as Zoom) is a provider of cloud-based communications and collaboration solutions. The company's platform supports video conferencing, voice calling, instant messaging, webinars and large-scale virtual events, and meeting room systems, marketed to businesses, educational institutions, government organizations and individual users. Zoom's product lineup includes Zoom Meetings, Zoom Phone, Zoom Rooms, Zoom Video Webinars and Zoom Chat, and the company offers integrations and extensions through a developer marketplace and third-party apps.

Founded in 2011 by Eric S.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.