Zoom Communications (ZM) Projected to Post Quarterly Earnings on Thursday

Key Points

• Zoom Communications is set to report Q1 2027 earnings after the market closes on Thursday, May 21, with analysts expecting $1.41 per share in earnings on $1.2239 billion of revenue.
• The company’s most recent quarter showed $1.44 EPS, which missed analyst expectations, while revenue of $1.25 billion slightly beat estimates and rose 5.3% from a year earlier.
• Analyst sentiment remains mixed: the stock has an average rating of Hold with a consensus price target of $95.32, even as recent institutional buying has kept 66.54% of shares in hedge funds and other institutions.

Zoom Communications (NASDAQ:ZM - Get Free Report) is projected to issue its Q1 2027 results after the market closes on Thursday, May 21st. Analysts expect the company to announce earnings of $1.41 per share and revenue of $1.2239 billion for the quarter. 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. Parties can check the company's upcoming Q1 2027 earning summary page for the latest details on the call scheduled for Thursday, May 21, 2026 at 5:00 PM ET.

Zoom Communications (NASDAQ:ZM - Get Free Report) last released its quarterly earnings results on Wednesday, February 25th. The company reported $1.44 earnings per share (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 company had revenue of $1.25 billion for the quarter, compared to analysts' expectations of $1.23 billion. During the same period in the prior year, the business earned $1.41 EPS. The business's quarterly revenue was up 5.3% compared to the same quarter last year. On average, analysts expect Zoom Communications to post $4 EPS for the current fiscal year and $5 EPS for the next fiscal year.

Zoom Communications Price Performance

Zoom Communications stock opened at $102.43 on Thursday. Zoom Communications has a 12 month low of $69.15 and a 12 month high of $111.56. The business has a 50 day simple moving average of $85.52 and a 200-day simple moving average of $86.01. The stock has a market capitalization of $30.18 billion, a PE ratio of 16.52, a price-to-earnings-growth ratio of 5.89 and a beta of 1.00.

Analyst Ratings Changes

Several equities research analysts have recently commented on ZM shares. Benchmark cut their price target on Zoom Communications from $115.00 to $110.00 and set a "buy" rating for the company in a research note on Tuesday, February 24th. Needham & Company LLC reaffirmed a "buy" rating and issued a $100.00 target price on shares of Zoom Communications in a report on Friday, March 13th. Zacks Research downgraded shares of Zoom Communications from a "strong-buy" rating to a "hold" rating in a report on Friday, February 13th. Rosenblatt Securities reaffirmed a "buy" rating and issued a $115.00 target price on shares of Zoom Communications in a report on Thursday, February 26th. Finally, KeyCorp lifted their target price on shares of Zoom Communications from $69.00 to $74.00 and gave the company an "underweight" rating in a report on Thursday, February 26th. Fourteen research analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat, the stock currently has an average rating of "Hold" and a consensus price target of $95.32.

Insider Activity at Zoom Communications

In other Zoom Communications news, COO Aparna Bawa sold 12,886 shares of the business's stock in a transaction on Friday, April 17th. The shares were sold at an average price of $87.62, for a total transaction of $1,129,071.32. Following the sale, the chief operating officer directly owned 1,978 shares in the company, valued at approximately $173,312.36. The trade was a 86.69% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Santiago Subotovsky sold 5,274 shares of the business's stock in a transaction on Monday, May 4th. The stock was sold at an average price of $106.58, for a total transaction of $562,102.92. Following the sale, the director owned 142,882 shares in the company, valued at $15,228,363.56. The trade was a 3.56% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 144,329 shares of company stock worth $12,364,989. 11.51% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the stock. AQR Capital Management LLC increased its holdings in Zoom Communications by 43.9% in the fourth quarter. AQR Capital Management LLC now owns 12,195,243 shares of the company's stock valued at $1,052,328,000 after buying an additional 3,718,186 shares in the last quarter. State Street Corp increased its holdings in Zoom Communications by 5.0% in the fourth quarter. State Street Corp now owns 7,582,924 shares of the company's stock valued at $654,331,000 after buying an additional 363,776 shares in the last quarter. FIL Ltd increased its holdings in Zoom Communications by 0.4% in the fourth quarter. FIL Ltd now owns 3,284,861 shares of the company's stock valued at $283,451,000 after buying an additional 11,849 shares in the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its position in Zoom Communications by 9.5% during the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 2,852,621 shares of the company's stock worth $246,153,000 after purchasing an additional 248,640 shares in the last quarter. Finally, Arrowstreet Capital Limited Partnership boosted its position in Zoom Communications by 46.2% during the third quarter. Arrowstreet Capital Limited Partnership now owns 2,645,846 shares of the company's stock worth $218,282,000 after purchasing an additional 836,594 shares in the last quarter. 66.54% of the stock is owned by hedge funds and other institutional investors.

About Zoom Communications

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.

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